The European Commission estimates, for the year 2024, that 12 countries will exceed the budget deficit criterion of 3% of GDP, and Romania is among the few countries whose deficit is triggered by investments, stated the minister of investments and European projects, Adrian Caciu, in a post published on Friday on his Facebook page.

„A picture is worth a thousand words! And sometimes it presents truths that dismantle an entire propaganda designed to distort and induce panic among the unprepared. Today it is about the deficits of the EU member states in the last 30 years: (AMECO database, European Commission). In the last 30 years, there is no EU member country that has not exceeded the 3% budget deficit criterion in at least 2 years. All EU member countries have had periods of accelerated development based on investments ( a strong stimulus from European funds, especially when it comes to infrastructure) in which the deficit exceeded 3% of GDP. Most periods of strong convergence are associated with large budget deficits, centered on a big investment push. This is what Romania is doing in 2023 – 2027,” wrote Adrian Caciu.

According to him, France and Greece had a deficit greater than 3% of GDP in 23 years out of the last 30 years. Hungary, Poland and Portugal exceeded in 22 years out of the last 30, Spain, Slovakia and Malta exceeded in 19 years, Italy exceeded in 18 years, Romania in 17 years and the Czech Republic and Croatia in 16 years.

„The EU as a whole exceeded the budget deficit criterion of more than 3% of GDP in 14 years out of the last 30 years, and the Euro Zone (created on January 1, 1999) exceeded it in 11 years from its establishment to the present. (…) For the year 2024, the EC estimates that 12 countries will exceed the budget deficit criterion of 3% of GDP. Romania is among the few countries whose deficit is achieved on investments. The only way to development is the investment push. At the moment, the value of public investments for this year is about 4.5% of the GDP. How to „fix” the short-term deficit that is achieved on investments? Through their multiplier effect, an effect that brings new revenues to the economy and the budget, while the pressure on expenses decreases with the payment of the investments made”, wrote Adrian Caciu.

The Ministry of Finance published on Thursday the draft Ordinance on the budget rectification, which foresees an increase of 1.94 percentage points in the budget deficit this year, from 5% of the initial GDP, to 6.94% of the GDP.

AGERPRES