Romania’s public deficit reached 1.17% of GDP, down from 2.95% of GDP in the same period last year, according to sources familiar with the reporting consulted by Profit.ro. The Finance Ministry has not released the figures yet.
While not as relevant as full-quarterly data, April figures may add optimism on the budget execution side. The budget deficit target for the whole year is 6.2% of GDP.
The result is determined by the record collection by ANAF, strict control of expenses, simultaneously with the reduction of some investments from the state budget, offset by a significant increase in investments from EU funds, according to Profit.ro.
Notably, the public deficit halved nominally in Q1, compared to the same period of 2025, while the deficit to GDP ratio dropped to just over 1% from nearly 2.3% in the same period of 2025.
The absence of a 2026 budget plan approved by March kept the expenditures low, resulting in a subdued fiscal gap. Separately, the budget execution in April may not be fully relevant for the entire second quarter.
In the first three months of this year, the deficit stood at 1.03% of GDP, RON 21.09 billion.
At 1.17% of GDP deficit for the first four months, the corresponding amount would be RON 34.77 billion, calculated based on the GDP used by the Ministry of Finance in budget executions. In the first four months of last year, the deficit was 2.95% of GDP, RON 55.97 billion.
iulian@romania-insider.com
(Photo source: Alexandru Marinescu/Dreamstime.com)
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