Tiriac: Romania remains interesting for investments, RON overvalued

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Businessman Ion Tiriac says that the crisis is not over and business remains in the red, but Romania still is interesting for investments and “the world will once again rush” when the country will return to growth, Mediafax reports. “The government’s target (economic growth of 1.6 pc in 2013) is modest, I think, but can be achieved, given that we do not know yet what is going on in the whole Europe,” the businessman said on TV. He added that Romania depends on Europe, which in turn is influenced by the evolution in the USA. Asked about the real situation of the business, he said that “it does not flourish” and is not even 30 pc of the level 4-5 years ago. The businessman added that, although he foresaw what would happen, he did not think that the crisis would last so long, and one of the reasons for the regress is the lack of bank financing. Ion Tiriac considers that the RON is overvalued and warns that “disaster” will strike when it will drop to a much lower value. Speaking about the moment of the devaluation, he added that it could possibly happen even this year. On the other hand, the businessman considers that state companies should not be supported at any cost, but instead should undergo a process of efficiency increase, and for privatisations one needs vision, and if CFR Marfa is to be sold for scrap metal, then he is willing to buy, scrap the carriages himself and donate the money.