Romanian CFA Society leader anticipates year-end inflation at 8%, identifying potential risks for further increases
In a recent appearance on Ziarul Financiar Live, Adrian Codirlaşu, president of the CFA Romania association of financial analysts, expressed his concerns about the impact of the fiscal measures adopted by the Ilie Bolojan government on the economy.
The consensus forecast for this year's inflation is around 7.5%, but Codirlaşu predicts that inflation will start with the figure 8% this year. He also suggests the possibility of inflation being expressed in double digits, 10-11%, by the end of 2025. Most analysts note an upward risk in this year's inflation, and some predict that it could rise to 10-11% by the end of the year.
The Ilie Bolojan government, which took office in June 2025, has implemented a series of tax increase measures, including VAT increases and excise duty increases. These measures are aimed at reducing the deficit and implementing structural reforms. The total value of the Romanian budget, due to these measures, is expected to be RON 9.5 billion.
Ilie Bolojan, who was appointed by President Nicușor Dan, leads a coalition government focused on deficit reduction and structural reforms, including tough austerity measures in the context of rising inflation forecasts.
Codirlaşu's statements come as no surprise, as analysts have been warning about the potential impact of the government's fiscal measures on the economy. The source of this information is Ziarul Financiar Live, a business show.
It remains to be seen how the Romanian economy will fare under these tough austerity measures and rising inflation forecasts. The government's efforts to reduce the deficit and implement structural reforms are crucial to the country's long-term economic stability, but the short-term impact on consumers and businesses could be significant.
In conclusion, the Ilie Bolojan government's fiscal measures have raised concerns about the impact on the economy, with analysts predicting that inflation could rise to 10-11% by the end of 2025. Adrian Codirlaşu, president of the CFA Romania association of financial analysts, has also expressed his concerns about the potential for inflation to be expressed in double digits. The total value of the Romanian budget, due to these measures, is expected to be RON 9.5 billion. The government's focus on deficit reduction and structural reforms is crucial to the country's long-term economic stability, but the short-term impact on consumers and businesses could be significant.
