AUR calls for a change in Romania’s economic direction after the World Bank forecast a 0.5% contraction in 2026

AUR calls for a change in Romania’s economic direction after the World Bank revised down its forecast for 2026 and estimates a 0.5% contraction of GDP. The party stated on Wednesday, October 7, that Romania needs investment and support for domestic companies, not new tax increases or austerity measures.

The party argues that the revision of the forecast, from stagnation to economic decline, confirms the deterioration of prospects amid persistent inflation, the budget deficit, and high energy costs. The World Bank considers Romania to be making the most “ambitious” fiscal adjustment in the region, but fiscal consolidation will affect domestic demand and economic growth.

AUR proposes three directions for recovery. The first focuses on simplifying SMEs’ access to European and government funds by reducing bureaucracy and administrative barriers. The second involves prioritizing investments in critical infrastructure, energy, agriculture, and reindustrialization, to develop production and create jobs. The third measure consists of introducing flexible guarantee and co-financing schemes for Romanian companies.

According to the World Bank, the economy could return to growth of approximately 1.9% in 2027-2028, amid slowing inflation and the recovery of real incomes. AUR argues that the recovery must be based on investment, domestic production, and domestic capital.