Romania records highest budget deficit in EU in Q2

Romania recorded a budget deficit of 4.1% of the GDP in the second quarter of this year, according to data EU’s statistical office Eurostat published yesterday. It was the highest budget deficit recorded in the EU during this period. UK recorded the second highest budget deficit in EU, namely 3.4% of its GDP. France came next, with 2.8%, followed by Portugal, with 1.6%. The budget deficit rose to 1.3% at EU level during this period, compared to a 1.1% deficit in the first quarter of this year. Romania’s PSD-ALDE governing coalition promised to respect the 3% deficit target for this year, in line with the Maastricht Treaty. Otherwise, the country risks entering the excessive deficit procedure. The consolidated general budget, which includes both the state budget and the pension and unemployment budget, recorded a deficit of RON 6.5 billion (EUR 1.4 billion) in the first eight months of this year, or 0.78% of the GDP. The budget deficit doubled compared to the same period of last year. editor@romania-insider.com