Romania's economy is likely to expand at a slower rate over the next year, according to an economist.

Peter Sanfey of the European Bank for Reconstruction and Development stated that the economic slowdown across the world is likely to inhibit growth in many countries, reports Financiarul.

However, the organisation is relatively optimistic about the outlook for Romania, as it is expecting growth of three per cent in 2009, followed by a resurgence in later years.

"Romania has favourable prospects on the long run, though it will see a cut in its economic growth in the short term," Mr Sanfey commented.

He added that the main challenge for the country's government will be attracting investment in companies and infrastructure during this period.

This echoes recent predictions from market analyst Frost and Sullivan, which stated that the medium to long term scenario for the country "looks bright".