Romania Continues To Liberalise Trade Regime
Continued liberalization should improve efficiency and competitiveness
Since its last review in 1999, Romania has continued to liberalize its trade regime. This, in turn, has contributed to a positive overall economic perfomance during the last few years. Romania has also embarked on a reinvigorated privatization programme to increase efficiency and attract more foreign investment, still largely untapped and low by regional standards, according to a WTO Secretariat report on the trade policies and practices of Romania.
Romania’s trade regime would gain from tariff reforms. Indeed, the reduction of the gap between applied and bound MFN tariffs, mainly on agricultural products, would improve the predictability of the regime. Moreover, the reduction of applied MFN tariffs should contribute to diversify the geographical pattern of Romania’s trade away from its preferential partners, according to the report.
The report also notes that further liberalization in services should improve efficiency in the economy, including the competitiveness of Romania’s exports, especially by reducing costs related to financial services, telecoms, and transport.