Romania increases primary spending forecast, cuts revenues estimate

The Romanian Government has revised its estimate on primary spending to EUR 30.7 billion this year, from a previous EUR 30.5 billion, according to the additional letter of intent to the International Monetary Fund deal, quoted by Mediafax newswire. The letter also included a downward revision of the expected revenues for this year, now expected to reach EUR 36.9 billion, from a previous estimate of EUR 37.2 billion. The Government's primary spending reached EUR EUR 15.6 billion in the first half of the year, above the level agreed with the IMF, which was of EUR 15.4 billion. Romania and the IMF agreed last year on a EUR 13 billion stand-by loan, as part of a EUR 20 billion package that also includes funds from the European Commission, the World Bank and other international lenders. Romania has pledged to reduce the budget deficit to 6.8 percent of the gross domestic product – EUR EUR 8.08 billion in 2010, down from 7.2 percent of GDP a year earlier. Mediafax