FinMin: Romania will meet budget deficit target this year

Romania will meet its budget deficit target this year, according to the Finance Ministry. EU’s statistical office Eurostat released last Thursday data showing that Romania’s deficit amounted to 3.2% of the GDP in the first quarter of this year. However, the Romanian Finance Ministry explained that the value of 3.2% was calculated based on the GDP value in the first quarter, namely the quarter when the GDP normally records the lowest nominal value. In 2016, the GDP amounted to RON 146.4 billion (EUR 32 billion) in the first quarter of the year. The GDP grew to RON 228.9 billion (EUR 50 billion) in the fourth quarter, according to representatives of the Finance Ministry. Romania’s government deficit increased by 1.3 percentage points in the first quarter of this year compared to the last quarter of 2016, namely from 1.8% to 3.2% of the GDP. This was the highest increase among EU member states, according to Eurostat. Budget deficit almost triples in Romania in May editor@romania-insider.com