Inflation dilutes Romania’s growing public debt to 48% of GDP at end-Oct

Romania’s public debt, measured based on EU’s methodology (Maastricht debt), rose by some RON 5.5 bln (EUR 1.1 bln) during October to RON 651 bln (EUR 132.6 bln) at the end of the month and the YTD rise in the stock of public debt reached EUR 15.1 bln or EUR 15.9 bln including the effects of the exchange rate variation.

The net borrowing in the first ten months of the year thus exceeded the figure for the whole year 2021 (EUR 14 bln including the effects of the exchange rate variation, EUR 15.6 bln not including the XR effects).

And yet, the debt-to-GDP ratio eased to 48% at the end of October, compared to 48.8% at the end of 2021.

Calculated under national methodology (that does not adjust the debt to the buffer held by Treasury), Romania’s public debt reached RON 786.3 bln (EUR 160 bln) at the end of October, or 56.3% of GDP (2022 estimated GDP), up from RON 698.0 bln (59.1% of GDP) at the end of 2021.

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