The government introduced an extensive set of fiscal reforms for 2025-2026, which includes raises of standard and low VAT quotas, as well as continued freeze of the public sector salaries and pensions in 2026. Total inflation is expected to remain high in the next 12 months, before returning to the tolerance band of Romania’s central bank by the end of 2026, the IMF said after its latest visit to Romania.
(English version by Loredana Fratila-Cristescu)