Romania’s budget deficit widens by 9.6% y/y to 3.68% of GDP in the first 6 months of the year, compared to 3.39% at the end of May, and reached RON 69.80 billion. In the second quarter the deficit narrowed by 5.9% y/y to RON 26.1 billion. Last year, the budget deficit was RON 63.67 billion in the same period, or 3.62% of GDP. Total revenues amounted to RON 310.52 billion in the first six months of 2025, registering an increase of 12.7% y/y, supported both by the advance of current revenues - mainly the tax on salaries and income, and insurance contributions – but also by the evolution of revenues from European funds. The budget for the current year is built on economic growth of 2.5% and a budget deficit of 7% of GDP. In H2, after the first package of budgetary reforms come into force on August 1, the government expects further improvements, resulting in a full-year cash budget gap of under 8% of GDP, compared to 8.65% last year.