Interest rates on state loans in RON, in the long term, have fallen to around 6.30%, the lowest financing cost in the last two years, and given the large volumes of state financing, these differences translate into substantial savings for the budget, claims the Minister of Finance, Alexandru Nazare.
"Interest rates on long-term state loans in lei have fallen to around 6.30% - the lowest financing cost in the last two years. "An important indicator for Romania's economic stability is the cost at which the state borrows in the long term. At the 10-year maturity, the interest rate is 2 percentage points below the maximum level reached in May of last year. Specifically, if the state borrowed last year at 8.35%, now, by lowering it to the threshold of 6.30%, for every billion lei borrowed we save approximately 20 million lei per year. Given the large volumes of state financing, these differences translate into substantial savings for the budget, which we use for other priority expenses," the minister wrote on his Facebook page on Monday evening.
He recalled that, in the first budget revision last year, 12 billion RON went exclusively to pay interest, an amount he considers enormous and which could have been invested in infrastructure, health or education projects.
"In total, in 2025, interest expenses amounted to approximately 50.5 billion RON - we are talking about huge amounts that, due to the inefficient management of public finances in previous years, do not go into investments today, but cover financing costs accumulated in the past. Today, the decrease in interest rates is a clear indicator that the direction we are going is the right one," Nazare emphasized.
According to him, every percentage point gained in the interest rate on long-term lei loans means less pressure on the public budget and more resources available for investments. At the same time, it also shows increased investor confidence in Romania and in the way public finances are managed.
The Ministry of Finance (MoF) borrowed 863 million RON from banks on Monday, through an issue of benchmark state bonds, with a residual maturity of 92 months, at an average yield of 6.28% per year, according to data published by the National Bank of Romania (BNR).
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