Romania quietly catches up with richer neighbours, helped by EU cash

Cars are parked outside Tetarom Industrial Park, overlooking Cluj-Napoca, central-western?Romania, January 5, 2023. Inquam Photos/Simion Tataru via REUTERS

BUCHAREST (Reuters) - Romania's economy is set to outpace its stagnating neighbours this year, helped by European Union funding, currency stability and foreign investment driven in part by reshoring from Russia and Ukraine.

The International Monetary Fund expects a 3.1% expansion, while even the European Commission's 1.8% growth forecast would place it well ahead of Poland - seen growing 0.7% - and Hungary, grappling with a slowdown and sky-high inflation.