Romania is paying EUR 11 billion in interest, Prime Minister Ilie Bolojan told private broadcaster Digi24 on Sunday, when asked about the country’s borrowing situation.

„Due to loans contracted at very high interest rates, between 5.5% and 7% in euros or dollars, this year and next year, for instance, we will pay around 55 billion lei (EUR 11 billion) in interest alone. These expenses are likely to increase and reach 3% of GDP, meaning that interest payments now account for 3% of our budget deficit,” the prime minister said.

Ilie Bolojan also addressed his relationship with the Social Democratic Party (PSD), pointing out that the protocol assumed by all parties in the coalition has been honoured.

„This coalition was formed four months ago against the backdrop of very serious problems Romania was facing. There were three major issues: first, the budget crisis; second, of course, the need to place the economy on much sounder foundations; and third, the crisis of trust caused by the injustices people perceived. The protocol that was agreed to address these issues was assumed by all parties, and during this period we have honoured it,” Bolojan stated.

AGERPRES