Romania on Brink: Isărescu Predicts Price Surge, Warns of Economic Crisis

Romania Faces Looming Economic Crisis: Central Bank Governor Warns of Price Hikes. In a recent address, Mugur Isărescu, Governor of the National Bank of Romania, issued a stark warning about the potential for a major economic crisis, similar to the one experienced in 2007. He predicts substantial price increases before the end of 2026, emphasizing the urgent need for careful spending management. "We are close to an economic crisis," Isărescu stated, highlighting the necessity of a "gradual, sustainable" reduction in public spending. The video accompanying his statement includes charts illustrating projected inflation rates, showing a concerning upward trend. Isărescu's emphasis on avoiding "austerity" while implementing fiscal responsibility underscores the delicate balancing act the Romanian government faces. His call for collaboration with the new government to find the best solutions suggests a cautious optimism for navigating this challenging economic landscape.