Minister of Finance: Structural adjustment, based on solid revenues and control of current expenditures, strengthens market confidence

Structural adjustment, based on solid revenues and control of current expenditures consolidate the trust of the markets and of the investors and reduce financing costs for Romania and the 2026 budget will try to combine fiscal prudence with economic dynamism, says the minister of Finances, Alexandru Nazare.His reaction comes after the minister published the budgetary execution for the first month of the year which shows a surplus of 850 million lei, 0.04% of GPD respectively, this being the first January which has ended on a positive note over the last seven years.'The first month with a budget surplus in 2019: further confirmation of improved public finance management. A result of prudence and responsibility, which continues to guide us. January 2026 marks a new milestone for public finances: the consolidated general budget ended with a surplus of 0.85 billion lei, or 0.04% of GDP. This is the first January with a surplus since 2019, compared to January 2025, when Romania recorded a deficit of 11 billion lei," the Minister of Finance wrote on his Facebook page on Friday evening. He said that, at the basis of the budgetary execution of the first month of the year there is a significantly better collection of the revenues, the collection being of 55.12 billion lei, up by 17.9% against the same period of last year, with record collections of VAT (­­+23.9% net).At the same time, Nazare pointed at a prudent management of expenditures which lowered, as a total, by 6% without affecting investments, which continue to be supported, mainly by European funds.VAT refunds increased by one billion lei to reach 4.73 billion lei, supporting companies' liquidity. 'This performance demonstrates resilience and responsibility in the management of public finances. Structural adjustment, based on solid revenues and control of current expenditure, strengthens market and investor confidence and reduces financing costs for Romania. Therefore, the 2026 budget will continue to combine fiscal prudence with economic dynamism. We will ensure that public investment remains strong, with a focus on infrastructure, modernization, and strategic development projects, particularly through European funds. Through this approach, Romania generates money in the real economy and becomes more attractive to international capital. The stability of public finances must be the foundation of long-term confidence and predictability," said Alexandru Nazare. The execution of the general consolidated budget for January 2026 ended with a surplus of 850 million lei, namely 0.04% of GDP, compared to the deficit of 11.01 billion lei, respectively 0.58% of GDP for January 2025, the Ministry of Finance announced on Friday.   Total revenues amounted to 55.12 billion lei in January 2026, up 17.9% (year/year). Expressed as a share of GDP total revenues advanced by 0.25 percentage points (pp), of which 0.22 pp come from current revenues - mainly salary and income tax, as well as VAT. Total expenditure was worth 54.27 billion lei in January 2026, dropping against the same period of the previous year by 6% (year/year). Similarly, expressed as percentage points from the GDP, this meant a drop by 0.3 percentage points against January 2025, from 3.0% of GDP to 2.7% of GDP.Prime Minister Ilie Bolojan announced on Thursday that he had confirmed with European Commission representatives the budget deficit target of approximately 6% that Romania has set for this year and that our country will respect its commitments to correct the deficit trajectory.