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Romanian budged in deficit after Q2

Vineri, 27 iulie 2007, 0:00

The general consolidated budget recorded a 749.9 million RON deficit after the first six months of the year, representing 0.19% of the gross national product, after presenting a 0.16% surplus at the end of May.
Income and spending during the first two quarters represented 15.0 and 15.2%, respectively, out of the GNP.

Social insurance produced 4.7% of the GNP, while VAT represented only 3.3%.

Taxes on income and profit produced other 3.1% of the GNP.

The main expenses were made for social assistance and insurance, education and the health system.

In June, the European Commission decided to maintain the 2.8% limit for budgetary deficit, because of the drought, despite the fact that the Economy Minister estimated only a 2.6% deficit.
In its spring prognosis, the Commission estimated that Romania will cross the 3% limit in deficit and warned that it may open the excessive deficit procedures.

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