Romania’s current account deficit jumps 58 pct to EUR 9.4 bln in 2018; FDI up 2.9 pct to EUR 4.9 bln

Sorin Melenciuc 13/02/2019 | 13:03

Romania’s current account balance of payment registered a deficit of EUR 9.42 billion last year, up 57.7 percent against 2017, while the foreign direct investment (FDI) increased by 2.9 percent to EUR 4.94 billion, according to the National Bank of Romania (BNR).

„The deficit on trade in goods widened by EUR 2.628 billion, the surplus on services income narrowed by EUR 102 million, the deficit of the primary income balance increased by EUR 322 million, and the surplus of the secondary income balance decreased by EUR 394 million,” the central bank said on Wednesday, in a press release.

Romania’s current account deficit has exceeded last year the warning threshold of 4 percent of GDP, the current estimate indicating a level of 4.7 percent of GDP – at a projected GDP of around EUR 200 billion.

The main source of the large external deficit is the negative trade balance.

Last year, the current account balance of payments registered a deficit of EUR 5.97 billion, or 3.2 percent of GDP.

On the other hand, non-residents’ direct investment in Romania totalled EUR 4.94 billion in 2018, compared with EUR 4.78 billion in 2017, “of which equity (including estimated net reinvestment of earnings) amounted to EUR 4.042 billion and intercompany lending recorded a net value of EUR 894 million,” BNR indicates.

BR Magazine | Latest Issue

Download PDF or read online: December 2022 Issue | Business Review Magazine

The December 2022 issue of Business Review Magazine is now available in digital format, featuring the main cover story titled “Xclusiverse: Going Beyond the Traditional Ways of Doing Business.”
Sorin Melenciuc | 19/12/2022 | 18:45

    You will receive a download link for the latest issue of Business Review Magazine in PDF format, based on the completion of the form below.

    I agree with the Privacy policy of
    I agree with the storage and handling of my data by
    Advertisement Advertisement
    Close ×

    We use cookies for keeping our website reliable and secure, personalising content and ads, providing social media features and to analyse how our website is used.

    Accept & continue