With record allocations of 150 billion RON for investments and a deficit reduced to 7% of GDP, Romania has a budget that ensures the payment of salaries and pensions, helps the vulnerable and provides the necessary funds for the development of the economy and local communities, Finance Minister Tanczos Barna said in a Facebook post on Friday.
The minister characterized the draft budget for 2025 in three words: „investment, balance and moderation”.
Tanczos Barna said that this year’s budget is the beginning of a new period, because the government has a number of structural problems to solve, needs to restore the budget balance and strengthen economic growth through firm measures implemented at a fast pace.
„We have built the budget on three pillars: a leaner state, which reduces its own spending, but does not reduce pensions and salaries; the average net salary will rise above the inflation limit, and those with low pensions will receive help; record investments in the economy, of 7.8% of GDP – the 150 billion RON will be found in motorways, new hospitals, local development programs and programs for SMEs; National Solidarity Fund, to which the Capital will also contribute. For the first time, the distribution of the amounts for the administrative-territorial units will be based on census data, reflecting the real population of the localities,” the minister wrote.
The Finance Ministry published on Thursday night the draft budget for this year, based on an economic growth of 2.5%, which brings the Gross Domestic Product to 1,912 billion RON in current prices.
The average annual inflation on which the budget has been calculated is 4.4%.
The budget deficit is estimated at 7.04% of GDP.
The consolidated budget revenues are estimated at 667.523 billion RON, representing 34.9% of GDP. The largest shares in the budget revenues in 2025 are the social insurance contributions – 30.8% of total revenues, followed by VAT – 20.4% of total revenues, EU funds – 13.1% of total revenues, payroll and income tax – 8.5%.
Expenditures are estimated at 802.170 billion RON, i.e. 41.9% of GDP. In 2025, investment expenditures amount to about 149.7 billion RON, i.e. 7.8% of GDP. Investments are supported from the Recovery and Resilience Facility, but they have to be completed by the end of 2026. Personnel expenditure is 169.5 billion RON in 2025. Social assistance (30.2% of total expenditure), personnel expenditure (21.1% of total expenditure) and investment expenditure (18.7% of total expenditure) account for a large share of total expenditure in 2025.
AGERPRES
