Romania\u2019s economy grew by only 0.3% gross in the first half of 2025, and by 1.4% in seasonally adjusted series, according to data published Thursday, August 14, by the National Institute of Statistics (INS).\u00a0<\/p>\n
In the second quarter of 2025, compared to the previous quarter, the Gross Domestic Product increased by 1.2%. Compared to the same quarter of 2024, the GDP rose by 2.1%.\u00a0<\/p>\n
The numbers posted indicate a stagnation of the economy, stoking fears of a recession, while the government increased taxation to address a wide deficit.\u00a0<\/p>\n
\u201cWe must be prepared at any moment for a recession, having today\u2019s up-to-date economic data, which indicates that we must be prepared at any moment for a recession and must anticipate this,\u201d Romanian finance minister Alexandru Nazare said during a press conference on Wednesday, August 13.\u00a0<\/p>\n
Romania\u2019s central bank, BNR, has sharply revised<\/a> its inflation forecast for 2025, raising the year-end estimate from 4.6% to 8.8%, with the possibility of exceeding 9%. Governor Mugur Is\u0103rescu warned that inflation will peak in September, potentially reaching 9.6% or 9.7%, before gradually easing.<\/p>\n Is\u0103rescu also said that Romania can avoid a recession through an increased absorption of European funds.\u00a0<\/p>\n