The public administration sector’s financial assets dipped 0.8 percentage points in Q3 2022 to 24.8 percent of GDP, shows data published by the National Bank of Romania (BNR), Agerpres reports.

„This dynamic was mainly caused by the evolution of the financial instruments ‘Equity participations and shares/investment fund units’, ‘Loans’ and ‘Other accounts receivable’. Thus, compared to Q3 2021, participations and shares/investment fund units dropped 0.7 percentage points in the third quarter of 2022, reaching 9.8 percent of GDP,” the BNR said.

Also, other accounts receivable (taxes, social contributions, trade receivables, amounts owed by companies to public authorities and external receivables) decreased slightly by 0.3 percentage points to 6.1 percent of GDP.

Credits also recorded a slight depreciation, accounting for 2.5 percent of GDP in Q3 2022, by 0.1 percent less compared to the same quarter of the previous year.

„Nevertheless, the three aforementioned financial instruments saw a nominal value increase during the reporting period (equity participations and shares/investment fund units increased by 11.9 billion RON, other accounts receivable went up by 9.4 billion RON, and loans advanced by 3.9 billion RON). Cash and deposits of public administrations increased by 0.3 percentage points, accounting for 6 percent of GDP in Q3 2022,” the BNR report notes.

At the end of Q3 2022, the financial commitments of the public administration were by 9 percentage points lower compared to the year-ago period, standing at 47.6 percent of GDP.

In the third quarter of 2022, debt securities issued by the public administration represented 31.8 percent of GDP, 9.9 percentage points less than in the same period of the previous year. This decrease was the result of the downward revaluation determined by the rising interest rates.

The balance of committed loans increased by 0.9 percentage points in the reporting period, reaching 7.2 percent of GDP, and the elements in the ‘Other due amounts’ category decreased by 0.2 percentage points to 7.6 percent of GDP.

Agerpres