Romania's Looming Pension Crisis: A 3% GDP Deficit and Growing Fears

Romania Faces Pension Payment Crisis as Budget Deficit Widens Romania is facing a growing financial crisis, with the Finance Minister issuing a stark warning about the lack of funds to pay pensions. The announcement has sent shockwaves through the country, particularly as the nation prepares for a change in government. The deficit for the first four months of the year has already reached nearly 3% of the GDP, a staggering 56 billion Romanian lei. This is according to the Finance Minister, who has spoken with the current President about the situation. "This is the most serious signal we've seen so far," a source close to the government stated, highlighting the gravity of the situation. "The coming weeks are decisive for the future of the country." Experts are even more concerned, predicting that without drastic measures, the difference between government spending and revenue could balloon to 10-12% of the GDP. This underscores the urgent need for the incoming government to implement significant financial reforms to avoid a deeper economic crisis. The situation calls for immediate action to address the looming financial challenges and ensure the stability of the Romanian economy. The coming weeks will be crucial in determining whether the government can successfully navigate this crisis.