IMF: Romania needs 38bn euros next year
The IMF estimates Romania's financing requirements will reach 38 billion euros next year, up by around 700,000 euros against 2010, with around half of them being accounted for by short-term debts falling due.
Fund experts warn that a careful management will be needed to
ensure a "smooth" financing of the budget deficit amid a
persistently high interest rate margin reflecting the country
risk.
As for the public debt, the term-based structure is very important,
considering the need to correlate term payment with the available
revenues.
Analyst Aurelian Dochia says short-term debt has to be a concern
for the Finance Ministry.
"The short-term debt is of concern. It generates significant
vulnerability, puts a lot of pressure on the budget. The Finance
Ministry needs to make efforts to restructure and consolidate
longer-term debt. Countries with longer-term debt have an easier
time, are less vulnerable to market moves and to interest rate
rises."