Fitch maintains Romania's rating at BBB-, with a negative outlook

Fitch maintains Romania's sovereign rating at BBB- with a negative outlook.

According to the agency's analysts, the Gross Domestic Product per capita and governance are above those of other countries with a similar rating, but these strengths are balanced by the twin deficits: large and persistent budget and current account deficits, increasing public debt, political polarization and quite high net external debt.

The negative outlook reflects the continued deterioration of public finances and the rapid increase in the government debt/GDP ratio.

Factors that could lead to a downgrade of the country rating would be the failure to implement additional fiscal consolidation measures, which, in the medium term, have the effect of stabilizing public debt, according to the Fitch rating agency.

Translated by: Radu Matei