Romania's public debt set to triple by 2025, BNR deputy governor urges fiscal consolidation

Romania's public debt is projected to rise from 413 billion lei in 2019 to about 1.22 trillion lei by the end of 2025, effectively tripling in six years. Annual financing needs have climbed to roughly 14 % of GDP, up from less than 10 % before the pandemic, straining the domestic financial market. With local banks reaching saturation, the government is increasingly turning to international investors, issuing Eurobonds that could total around 82 billion lei per year and offering longer maturities to reduce short‑term refinancing risk, albeit raising exposure to currency fluctuations. Deputy Governor Leonardo Badea of the National Bank of Romania stresses that maintaining a negative r‑g differential—where economic growth outpaces borrowing costs—is essential, and calls for stricter fiscal discipline, efficient public spending, and high‑value investment to ensure debt sustainability.