Romania's budget deficit hits 4% of GDP on seven months

Business Forum
Romania's consolidated general budget execution closed the first seven months of 2025 with a nominal deficit of RON 76.44 billion (€15.34 billion), an increase of RON 5.4 billion (€1.08 billion) compared to the same period in 2024. As a percentage of GDP, the deficit remains stable at 4.04%, according to the Ministry of Finance.

Total budget revenues amounted to RON 370.77 billion (€74.45 billion) , representing an 11.8% rise year-on-year, while expenditures reached RON 447.21 billion (€89.79 billion), marking an 11.1% nominal increase. 

Notable revenue growths were seen in income and salary taxes (+21.3%) and excise duties (+13.2%). However, the Ministry of Finance highlighted a significant increase in social assistance expenditures (+14.7%), primarily due to the recalculation of public pensions.

Minister of Finance, Alexandru Nazare, said: "The deficit has slightly increased in the first seven months and is still at a high level. This situation underlines the stringent need to maintain rigorous control over public spending. The danger of a downgrade to our investment rating remains a real one. We are here to ensure the stability of the country's finances and to guarantee that Romania has a predictable and secure economic path. That is why it is very important to keep spending under control, to continue the upward trend in collection, and to approach the budget rectification with responsibility.”

Investment expenditures, which include capital spending and development programmes, totalled RON 61.68 billion (€12.38 billion), up by 8.23% from the previous year. Payments from non-reimbursable external funds also saw a substantial increase of 33.6%.

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