PUBLIC INVESTMENT CHALLENGES AND REFORMS IN ROMANIA

Abstract

The public investments play an important role in stimulating the economic growth and in reducing the disparities between urban and rural areas or between the regions of a country. The share of public investments in GDP in Romania has decreased significantly in recent years, giving the increase of some categories of public expenses, as well as the decrease of the budget revenues that have generated actions to adjust the state budget, in order to avoid the excessive deficit procedure. This paper analyzes the problem of public investments in Romania correlated with the evolution of the main categories of public expenses.

Keywords

• economic growth
• public investments
• public expenses