Romania’s budget deficit fell to 1.75% of GDP after the first five months of 2024, a development seen as positive ahead of upcoming reviews by Moody’s and Fitch ratings agencies in July. Economic consultant Adrian Negrescu believes this decrease provides a welcome signal, potentially influencing the agencies’ assessments. However, he cautioned against complacency, stating the improvement doesn’t address underlying structural issues within public finances. Sustaining budgetary discipline will require continued responsible fiscal policy and the implementation of further measures. Negrescu emphasized that the current result is a step in the right direction, but not a definitive solution. The upcoming agency evaluations will be crucial for Romania’s economic outlook and borrowing costs.