Romania’s current account (CA) deficit widened to EUR 1.78 bln in February, 22% more compared to the same month last year, the National Bank of Romania (BNR) announced.

The country’s CA gap in the 12-month period to the end of the month reached EUR 17.56 bln - nearly 50% more compared to February 2021.

The CA deficit to GDP ratio increased to 7.3%, calculated for the 12 months as of February this year, up from 5.4% as of February 2021.

The trade with goods posted a deep deficit of EUR 24.35% in the most recent 12-month period, which is slightly more than 10% of GDP.

While high energy prices keep exerting pressures on the country’s trade gap, the lower domestic demand for consumption amid tighter household budgets and lower consumer confidence may act as a stabiliser for the country’s wide external deficit. 

(Photo: Kittichai Boonpong/ Dreamstime)

iulian@romania-insider.com