ROMANIA'S PUBLIC DEBT AFTER THE COVID-19 PANDEMIC

Abstract

This paper examines the dynamics of Romania's public debt for the period 2016-2022, respectively the years before and after the outbreak of the COVID 19 pandemic. Therefore, we analyzed first the evolution of the share of the budget deficit in GDP and the cyclical influences that reflect the answer of the budget balance to the variations of the economic cycle and the non-cyclical ones that indicate the structural adjustments of the fiscal policies. Next, we investigated the evolution of the weight of public debt in GDP, as well as its determining factors, namely the primary balance and the difference between the economic growth rate and the effective interest rate.

Keywords

• public debt; budget deficit; growth rate; covid-19 pandemic