The budget deficit increases up to 90.9 billion lei following the budget rectification, an amount that represents 8.6% of GDP, so that the deficit is currently 50 billion lei higher against December 2019, when the budget for the current year was adopted, the Minister of Public Finance, Florin Citu, stated on Friday, in the beginning of the gov't meeting.
Romania's economy shrank by 12.3 percent in the second quarter of this year compared to the first quarter, according to data released on Friday by the National Institute of Statistics. Compared to Q2 2019, the Gross Domestic Product fell 10.5 percent both in gross and seasonally adjusted terms.
Government's healthcare outlays have increased throughout the year by about 45% on the initial budget and if necessary we will allocate additional resources, Finance Minister Florin Citu told a news conference on Thursday on budget revision.
The government will approve this Friday an emergency ordinance introducing certain amendments required for carrying out the budget adjustment, Finance Minister Florin Citu declared on Thursday upon leaving the opening of the Bucharest Stock Exchange trading session, in reply to reporters' questions as to which ministries will receive more money at the upcoming budget revision.
Public Finance Minister Florin Citu says that his objective is to minimize the negative impact of the global economic crisis on Romania's economy, and that the best measures to this effect have been taken so far, a fact confirmed by official data. "The real economy proves me right! We have taken the best measures for the economy and this is confirmed by official data.
Prime Minister Ludovic Orban and Finance Minister Florin Citu presented, at the consultations carried out at the Victoria Palace on Monday with representatives of the National Association of Romanian Exporters and Importers (ANEIR), a new credit guarantee mechanism, an instrument which can ensure working capital to large companies.
Romania's annual inflation rate fell to 2.3% in May 2020, from 2.7% in April, given that food prices rose by 5.25% , services by 2.6%, and non-food goods by 0.15%, according to data released on Friday by the National Institute of Statistics (INS). Consumer prices in May 2020 compared with April rose by 0.05%, and compared with December 2019 they advanced 1.47%.
Prime Minister Ludovic Orban on Tuesday welcomed leaders of the Association of Romania's Financial Companies to discuss the introduction of a funding mechanism complementary to the SME Invest programme with the aim of supporting companies to obtain funding for the purchase of equipment and machinery necessary for their activity.
Rating agencies cannot ignore Romania's successful issue of bonds to the international markets and the fact that it continued to have economic growth in the first quarter of the year, the Minister of Public Finance Florin Citu told an interview with AGERPRES. "The fact that we had economic growth in the first quarter resulted in a reset of all macroeconomic models.
The actions of the Social Democratic Party (PSD) in the Romanian Parliament are economic terrorism and the party is seeking votes by collapsing the economy following the increase of budgetary spending with no financing source, the Finance Minister, Florin Citu, believes. "The PSD's actions in the Romanian Parliament represent economic terrorism. There is no doubt here.