Romania’s Gross Domestic Product narrowed 2.6% in the first quarter on an annual basis, according to data from the National Institute of Statistics.
Industry was the only component to record an increase in activity, of 4.2%. Gross Domestic Product estimated for first quarter 2010 stood at 96.707 billion lei (€23.5 billion), down 2.6% from the first quarter 2009, INF data show.

Construction sector has seen a sharp reduction in activity in the Jan-mar period, of 17.3%. Lower declines have been observed in agriculture, forestry, fishing and fish farming (0.9%), in trade activities, vehicle repair, hotels and restaurants, transport and telecommunications (-2.4%), in financial activities, real estate and services for enterprises (-1.5%) and other services (-2.7%).

As a negative consequence of the poor economic performance, tax collected to state budget dropped, net taxes on products falling 10.7%.

End consumption narrowed 4% on 4.8% lower expenses for household end consumption.

Expenditures for end consumption of public administration decreased by 1.8%.

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