Romania’s public debt has increased by RON 19.3 bln (EUR 3.9 bln) during July, when the Government issued EUR 3.5 bln worth of Eurobonds, to RON 545.3 bln (EUR 110.2 bln) at the end of the month.

And yet, the debt-to-GDP ratio eased to 49.3% at the end of July, from 49.5% reported one month earlier. This was possible thanks to the methodology saying that the ratio is calculated under the latest available value of the four-quarter GDP at the reporting date.

On September 7, the statistics office INS reported the Q2 GDP and the four-quarter GDP calculated as of the end of June was 2.8% higher (in nominal terms) compared to that calculated at the end of March - just enough to push down the public debt to GDP ratio. 

andrei@romania-insider.com

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