Romania’s current account (CA) deficit widened by 1.9% y/y to EUR 3.19 billion in October 2025, bringing the deficit in the rolling 12-month period to EUR 29.8 billion – up 9.5% y/y and at 8.2% of the GDP, according to data published by the National Bank (BNR). The CA-to-GDP ratio was 8.2% for the previous 12-month period as well. 

The rolling 12-month CA gap peaked in April when it exceeded EUR 31 billion, but it further eased, supposedly driven by the softer domestic demand for consumption.

The outflows generated by the imported workforce become visible in the country’s balance of payments, the chronic trade deficit shows signs of moderation, and the foreign direct investments remain moderate and mainly self-generated (reinvested earnings) or cautious (intra-group loans), according to the rolling 12-month data published by BNR. 

The nominal deterioration of Romania’s CA balance was, this time, driven not by the substantial trade gap, which accounted for two-thirds of the total, or EUR 20.7 billion of the total EUR 29.8 billion CA deficit, and widened by only 1.3% y/y (+274 million). 

The largest part of the EUR 2.59 billion y/y expansion in the country’s rolling 12-month CA deficit as of October 2025 was caused by the secondary incomes – transfers to the public and private sector and, to a smaller extent, by the primary incomes (wages, interest, dividends). 

The net secondary incomes plunged to an insignificant EUR 17 million (-99% y/y), from nearly EUR 1.6 billion in the previous 12-month period. Notably, the outflows of the non-government sector, which include part of the transfers generated by the foreign workforce in the country, surged by 29% y/y to EUR 5.4 billion in 12 months to October 2025, EUR 1.2 billion more compared to the previous 12-month period. 

The net negative primary incomes, reflecting the outflows of interest and dividends generated by the foreign investors but also the balance of official wage remittances, increased by 9.1% (EUR 763 million) to a negative balance of EUR 9.12 billion. The increase was driven by the portfolio investors (+24% y/y, or EUR 4.7 billion outflows) while the profits generated by the FDI companies edged down by 1.9% y/y to a still substantial EUR 11.3 billion in 12 months to October 2025.

The net inflows of FDI to Romania in 12 months to October 2025 increased by nearly 20% y/y to EUR 6.7 billion (2.0% of GDP) – out of which nearly half (EUR 3.2 billion) was reinvested earnings (-10.5% y/y) and another significant part was formed by intra-group loans (EUR 2.1 billion). New equity FDI investments were only EUR 1.45 billion (+7.4% y/y).

iulian@romania-insider.com

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