Romania’s public debt measured under ESA methodology increased by 8.3% y/y (or nearly €5bn) to €64.9bn at the end of August, according to bne IntelliNews calculations based on finance ministry data.
The debt-to-GDP ratio increased by 0.9pp to 37.4% at the end of August. Historically, the ratio has been significantly below the 39.4% hit at the end of 2014 after it tripled since before the recession at the end of 2008 (when it was 13.2%).
Domestic public debt increased slightly faster than external public debt (by 13% y/y in local currency terms, versus the 9.7% advance of the external debt) and accounted, at the end of August, for 51% of the total debt.
By currency, public debt denominated in local currency increased by 13% y/y and accounted for 47.5% of the total at the end of August. Public debt denominated in euros increased by 14% y/y to 43.8% of the total.
Under the national methodology, the country’s public debt hit 41.7% of GDP (€76bn) at the end of August after a 0.6pp increase over the past 12 months. The national methodology includes borrowing from the Treasury’s reserves and the debt-to-GDP ratio is calculated based on the year’s projected GDP as opposed to rolling four-quarter GDP used under ESA methodology.
|Romania Public Debt|
|Debt RON mn||69,020||118,428||159,687||193,217||221,873||240,777||263,153||270,077||285,995||298,121||11.4%||30,437|
|Debt € mn||17,319||28,009||37,268||44,729||50,099||53,689||58,712||59,692||62,979||64,942||8.3%||4,995|
|Debt to GDP||13.20%||23.20%||29.90%||34.20%||37.30%||37.80%||39.40%||38.00%||37.60%||37.40%||0.9%|
|Debt RON mn||109,795||147,329||194,459||223,268||240,843||267,151||295,656||315,934||339,220||348,702||11.7%||36,438|
|Debt to GDP||20.90%||28.90%||36.40%||39.50%||40.40%||41.90%||44.30%||44.30%||44.50%||41.70%||0.6%|
|Source: FinMin, bne IntelliNews|