Romania's current account deficit increased by 1.5% year-on-year to EUR 30.5 billion in the 12 months ending June 2026, according to the National Bank of Romania (BNR). The deficit for June alone more than doubled to EUR 2.96 billion, driven by rising imports and dividend outflows. The current account deficit to GDP ratio decreased to 7.9%, down from 8.3% in the previous year, reflecting fiscal consolidation efforts, although the overall deficit remains a concern.
Key Details
Imports of goods rose by over EUR 1 billion to EUR 11.2 billion in June, contributing to the widening deficit. The outflows from foreign direct investment (FDI) companies increased by nearly EUR 0.7 billion to EUR 947 million for the month, with total FDI-related outflows reaching EUR 11.9 billion over the rolling year. Additionally, spending by Romanian tourists abroad surged by over EUR 1 billion to EUR 10.3 billion in the same period.
Background
In parallel, Romania's GDP remained virtually unchanged in Q2 2026, marking the third consecutive quarter of stagnation. The seasonally adjusted GDP was 2% lower than in the same quarter of 2025, following a slight contraction of 0.1% in Q1. The Ministry of Finance indicated that this economic contraction was anticipated as part of a necessary adjustment towards a more sustainable growth model, with a focus on fiscal consolidation and reduced private consumption.
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The widening current account deficit could pressure the Romanian leu as higher imports and dividend outflows strain foreign reserves. Investors may react to these economic indicators, particularly in the currency and bond markets, as concerns over fiscal stability persist. Watch for the upcoming release of detailed GDP data, which may provide further insights into Romania's economic trajectory.
Based on reporting by: romania-insider.com