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Government adopts budget revision / Deficit increases by 3.5 billion lei

Ana Maria Eftene

30 October 2026, 13:10

Economy

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The government adopted the budget revision for this year at Friday’s meeting, increasing the budget deficit by 3.5 billion lei, while it remains at 6.24% of GDP in cash terms, according to calculations by the Ministry of Finance.

Finance Minister Alexandru Nazare warned that Romania’s financial situation is “a very fragile balance.” He said the authorities are preparing a second budget revision, which is expected to be completed by November 30. In this context, the government is seeking to maintain fiscal consistency and protect the country’s credit rating.

Under the new revision, additional funds are allocated to the Ministries of Labor, Agriculture, Health and Internal Affairs, as well as to the National Health Insurance Fund. Local authorities will receive more than 2.7 billion lei in additional funds from amounts allocated from VAT.

At the same time, the budgets of several ministries and that of the Court of Accounts are being reduced. The revision therefore establishes both additional allocations for areas considered priorities and spending cuts for other institutions.

Context: before Friday’s budget revision, the Government and the Finance Ministry prepared the emergency budget revision and discussed the deficit data

Before the meeting at which the revision was adopted, Finance Minister Alexandru Nazare rejected the ministries’ request for 60 billion lei in the budget revision, saying that the amount was “exaggerated” and unsustainable. He announced that he would present the draft emergency revision on Friday, so that funding could be unlocked for priority areas, particularly the operation of the healthcare system.

At the same time, the Executive indicated that the revision would be discussed “in parallel” with the presentation of the country’s public finance situation, and the Government plans to carry out two revisions by the end of the year. In addition, following the request from the PSD, the Finance Ministry prepared an additional report with data based both on the cash methodology and on the European ESA methodology; the party granted another two weeks for the information to be consolidated. Meanwhile, the Finance Ministry had already reported decreases in the deficit during the first months of 2026 (from 5.31% of GDP in the first nine months of 2025 to 3.81% in the first nine months of 2026).