addressing romanians who are studying or have studied in the west, i cannot help but make the parallel with the revolutionaries of 1848, who engineered the rapid transformation of the romanian society and created the modern state almost from scratch. of course, that does not mean you are expected to build a new romanian state as they did, but you can certainly act as a similar vector of change in the romanian society, be it in social values, politics, economy or culture. therefore, no pressure … now, some of you must surely be wondering what a central banker like me and it have in common. i could hardly be described as an it expert, but i am following developments in the sector, not only because they matter in the global economy ( explaining a good deal of the productivity wedge between the us and eu starting in the mid - nineties, for instance ), but also because the it & c sector is increasingly relevant for the romanian economy – its share in gdp is now nearing that of construction and its contribution has become instrumental in building a surplus on the 1 / 4 bis central bankers'speeches international trade in services. solid technical skills, good command of foreign languages and certain versatility are assets that continue to attract investment in this sector in romania. although infrastructure quality, in general, is not a strongpoint for romania, communication infrastructure is – we are enjoying some of the best speed for broadband internet connection in the eu if not in the world, not to mention that access is comparatively much cheaper. the evolution of the it sector is part of a wider process of sectoral shifts in the domestic economy, visible across several emerging markets : the services sector gaining ground to the detriment of agriculture and industry, whose roles have been diminishing. likewise, industry has also shown structural shifts, i. e. the lower share of energy and labour - intensive sectors in favour of increasingly technology - intensive industries. with the risk of touching on a delicate topic these days, given the location of this conference, i have to mention that eu membership has played a major role in romania ’ s development. and i am not saying that only because i was the head of the government that started the eu accession talks back in 2000. across the years, there were a lot of discussions with regard to romania ’ s readiness for eu accession. even romano prodi, the head of the european commission at the time, warned me on several occasions that we were not ready for accession, not only from an economic and social point

bucharest, alongside other important cities, as well as areas either in the proximity of the western border or in which industrial clusters appeared, did much better than other areas, particularly those in the north - east, which are lagging behind. the north - east of the country could constitute an attractive investment destination. as there are other regions where the gap between demand and supply of skilled labour is becoming more evident, firms have often encountered difficulties in overcoming the challenges posed by poor transport infrastructure – the one that makes us sigh. because of the lack of investments, administrative units do not have an economic core and people have little choice but to move to a larger city or to another country. this is perhaps the most important challenge romania is facing right now and i see only one way of overcoming this : continuing to increase our competitiveness and productivity in such a way as to preserve macroeconomic balances and reduce inequality. no country can obtain sustainable economic growth by boosting consumption and undermining contractual discipline, but by implementing structural reforms leading to productivity gains. as paul krugman said “ productivity isn ’ t everything, but in the long run it is almost everything. a country ’ s ability to improve its standard of living over time depends almost entirely on its ability to raise its output per worker ”. eu membership brought about economic progress and positive changes in the romanian society. one example is student mobility, so that romanian young minds have the opportunity of studying at universities abroad, which – i guess – brings many of you here today. 3 / 4 bis central bankers'speeches your decision to study in a prestigious institution abroad is admirable, as moving away from your home country and studying in a language other than your own is definitely not the most convenient choice, yet it shows maturity, determination and long - term thinking. there was a time when leaving romania for a western country was a definitive, even dramatic choice : it literally meant cutting all bonds with your native country and with everything it implied – family, friends, way of life, in general. fortunately, times have changed : today ’ s globalised world allows you to shape an optimal professional path, so that there are always sufficient degrees of freedom. for instance, a young high - school graduate from the city of galati / piatra - neamt can choose to complete his or her education in galati, bucharest, london or anywhere else in the world. should he or she decide to study abroad, that does not necessarily mean leaving romania for