The Global Board of IAA international met up in Romania and had on its agenda of discussions the effects of Romanian Governmental Emergency Ordinance 25/2013 over the Romanian advertising and communication industry.
During a press conference that took place after Board’s meeting, Faris Abouhamad, president and Chairman of IAA Global’s board, expressed his trust that the actual form of OUG 25 will be rediscussed in Romanian Parliament and, during this process, there will be a dialogue with the players on the market in order to put together a law to serve the interest of both parties.
We decided to have this meeting in Romania exactly to express our support for the local industry, that had a lot to suffer following the adoption of the Ordinance in April 2013. This kind of initiatives doesn’t represent a first at global level but us, IAA, we were already close to our members and always expressed our availability to discuss with the authorities in order to find the best solutions
Michael Lee, Managing Director IAA Global, explained that any regulatory initiative that isn’t discussed with those that represent the subject of the regulation is doomed to fail.
If there are point of disagreements between an industry and authorities, the first step is for the two parties to sit together at the same table and discuss. In France, there was a similar episode with the one in Romania, but the authorities there accepted the dialogue with the industry and, this way, the law started to work
Mihai Barsan, president of IAA Romania’s managing Board, manifested his trust that authorities will enter a dialogue with the industry, pointing out the added value communication and advertising industry brings to the economy
The impact of advertising over the economy is much bigger, for example, in UK, for each pound invested in this industry, the gross domestic product (GDP) increases by 6 pounds. In Romania, households’ consumption represents 70% of GDP, so the economic growth depends of the internal consumption, and advertising represents one of the instruments with which we can generate this effect