Eurostat: Romania posts widest Q3 budget deficit in EU

The general government budget deficit in Romania increased to 3.6% of GDP in Q3 last year from 2.8% in Q3, 2017. The country thus posted the widest fiscal gap in the entire European Union, where the deficit was 0.6% on average, according to the European statistical office Eurostat. The fiscal gap was even smaller, measuring 0.5% of GDP, in the euro area in the same quarter. Notably, Romania’s general government budget deficit nearly tripled to 2.2% of GDP in January-October from 0.8% of GDP in the same period of 2017. Prime minister Viorica Dancila’s economic advisor, Darius Valcov, claims that the general government budget posted a 2.92% of GDP deficit in 2018 and finance minister Eugen Teodorovici came up with an even more optimistic evaluation of 2.8% of GDP (amid nominal GDP revised upward, apparently). The official 2018 budget deficit data will be officially announced after January 25, but the official ESA data (under European Union methodology) will be available only later in April. Romania’s Govt. announces in advance budget deficit for 2018 editor@romania-insider.com (photo source: Pixabay.com)