Romania was the most dynamic economy in the European Union in the first quarter of this year, with a growth of the Gross Domestic Product of 2.8% compared to the last quarter of the previous year, followed by Cyprus (2%), Hungary ( 1.9%) and Lithuania (1.8%), according to preliminary data released by Eurostat on Tuesday.

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In contrast, the European Union’s GDP contracted by 0.4% and the euro area economy fell by 0.6% in the first quarter of this year compared to the previous quarter. These declines come after declines in the fourth quarter of last year of negative 0.5% in the EU and negative 0.7% in the euro area.

On an annual basis, in the first quarter of this year compared to the first quarter of last year, Romania’s economy stagnated, after a decline of 2% in the fourth quarter of last year. In the European Union, the seasonally adjusted Gross Domestic Product decreased by 1.7% and 1.8% in the euro area, after a contraction of 4.6% and 4.9% respectively in the last quarter of last year. According to preliminary data, only three EU Member States recorded GDP growth at an annual rate between January and March 2021.

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Provisional data published by Eurostat are identical to those previously announced by the National Institute of Statistics (INS).

In the recently published spring economic forecasts, the European Commission improved to 5.1% the estimates regarding the growth of the Romanian economy this year, from 3.8% previously, the GDP will record an advance of 4.9% next year also up from the 4% forecast advanced in February this year.

In the World Economic Outlook report, published in April, the International Monetary Fund (IMF) also improved its estimates on the evolution of the Romanian economy, which would register an advance of 6% this year, and in Europe will be surpassed only by Spain, which will record economic growth of 6.4%.

At the end of April, the National Commission for Strategy and Forecast revised upwards to 5% the estimate on the gross domestic product growth in 2021, to 1,142.9 billion lei, according to the institution’s spring forecast. The European Commission estimates that Romania’s economy will grow by 5.1% in 2021.