The analysis by the financial rating agency Moody’s confirms that Romania has a stable economy and a degree of development that gives us a competitive position in the region, in the context of measures to reduce the budget deficit and support investments, says Finance Minister Alexandru Nazare.
“The Moody’s analysis confirms that Romania has a stable economy and a degree of development that gives us a competitive position in the region. The assessment comes at an important moment, before the adoption of the state budget, which must be finalized as quickly as possible in a responsible and correct form, to ensure, on the one hand, fiscal discipline, and, on the other hand, the economic recovery package. We adopted firm measures in 2025 to correct budgetary imbalances, and the results are already visible in the gradual decrease in the deficit. This increasingly conveys confidence to investors and rating agencies, and our commitment remains unchanged: fiscal-budgetary discipline and responsibility and an economic policy focused on investments, mainly by accelerating the absorption of European funds and through measures to support the business environment,” said Alexandru Nazare, Minister of Finance, in a statement quoted by Agerpres.
According to the cited source, the financial rating agency Moody’s Ratings has completed the periodic review of Romania’s credit profile, reconfirming the solid medium-term economic growth potential and the country’s resilience to external shocks.
The conclusions of the analysis validate the direction of the fiscal consolidation measures launched in 2025 and underline the importance of maintaining budgetary discipline to ensure a sustainable trajectory of public debt.
Moody’s confirms that the fiscal measures adopted since July 2025 have had a positive impact on Romania’s budgetary prospects. As a result of these decisions, the budget deficit is on a clear downward trajectory: from a peak of 9.3% of GDP in ESA terms in 2024, the agency estimates a reduction to 8.2% in 2025 and to reach 6.3% of GDP at the end of 2026.
“Although government debt is forecast to reach 62.9% of GDP in 202, and to stabilize at around 65%, Moody’s believes that Romania maintains a debt servicing capacity that remains robust. However, the agency notes potential risks to the prospect of a further reduction in the deficit beyond 2026 and a stabilization of the debt burden at a level corresponding to the Baa3 rating,” the press release states.
The Ministry of Finance reaffirms that attracting European funds is priority zero. The absorption of money from the Recovery and Resilience Facility (RRF) by August 2026 is considered by the agency to be the determining factor for avoiding an economic contraction this year.
Moody’s report notes that the current Government has significantly accelerated the process, although there have been delays in implementation since 2024. In this context, the agency estimates that Romania can access most of the remaining financing by the end of 2026, thus supporting public investment and structural reforms, the press release sent by the Ministry of Finance also shows.
According to the report, the rating outlook could return to stable through the full and effective implementation of the consolidation program adopted in 2025, a process that should continue after 2027, albeit at a more moderate pace.