Romania’s public debt-to-GDP ratio up 0.8pp in April to 49.2%

Although Romania hasn’t issued any Eurobonds in April, the country’s public debt rose by RON 8.9 bln (EUR 1.8 bln) during the month, to RON 602.9 bln (some EUR 120 bln), according to the data published by the Ministry of Finance.

The debt to GDP ratio rose to 49.2% from 48.4% at the end of March. It was 48.8% at the end of 2021.

In April, the Treasury issued EUR 260 mln of bonds on the local market (in addition to the local currency bonds), and the Government began absorbing money from the almost EUR 4 bln disbursed by the European Commission under the Resilience Facility (but placed initially in the accounts of the National Bank of Romania therefore not included in the public debt).

Romania’s medium and long-term debt increased, in April, by RON 9.4 bln to RON 583.0 bln, while the short-term debt decreased by some RON 0.5 bln to RON 19.9 bln. Most of this debt, respectively RON 498.6 bln at the end of April, consists of government securities. The loans amounted to RON 94.5 bln.

By currency, Romania’s public debt is denominated in euros (the equivalent of RON 288.915 bln) and in local currency (RON 265.0 bln), while the share of dollar-denominated debt is smaller (the equivalent of RON 47.6 bln).

(Photo source: Dreamstime.com)