“We are not nervous regarding the budget deficit. The situation after three months is very good,” said Jiru during a conference on banking issues. “Compared with a planned deficit of 0.65% (of the gross domestic product), we have a surplus of 0.69%.”
Romania’s government approved last week the new convergence program, which includes a deficit target of 1.45% of GDP for the whole year.
Jiru also said that Romania closed 2014 with a deficit of 1.5% of GDP, compared with a target of 2.2% of GDP, narrower than the European average.
The European Commission expects Romania’s budget deficit to widen slightly this year, followed by a sharp deterioration in 2016 due to tax cuts envisioned in the new tax code draft.