Romania’s foreign trade gap soared by 86% YoY to EUR 3.2 bln in August, remaining for the second month in a row above the EUR 3 bln threshold, according to data from the statistics office INS.

Exports increased by 34% YoY to EUR 7.6 bln, while imports advanced faster, by 47% YoY to EUR 10.8 bln.

For the 12 months ending July, the trade gap reached EUR 31.1 bln (11.9% of GDP), 44.5% up from EUR 21.5 bln (9.4% of GDP) in August 2021.

More than reflecting global inflation, Romania’s trade gap is rising in real terms, as well as the deficit-to-GDP ratio. The trade data for July and August, combined with slower economic growth, are likely to further deteriorate external balance metrics.

The trade deficit (goods) in Q2 reached 10.1% of the total domestic demand for consumption, investments and inventory - up from 8.8% in the same period last year.

For the four quarters ending June, the ratio was 9.7% - up from 8.5% one year earlier and 8.2% two years earlier.

iulian@romania-insider.com

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