Romania's GDP Growth Slows to 0.3% in Q1

Romania's GDP expanded by 0.3% year-on-year in the first quarter of 2025, slightly above the preliminary estimate of 0.2%, but sharply slowing from 1.5% in the previous three-month period, according to second estimates.

This marked the slowest growth since the first quarter of 2024, largely due to a decline in government spending (-2.9%).

Meanwhile, gross fixed capital formation surged by 18.9%, and household consumption also increased slightly by 0.3%.

Net external demand weighed on growth, as imports grew 3.8%, outpacing the 3.4% gain in exports.

On a seasonally adjusted quarterly basis, the economy stagnated in Q1, following 0.5% growth in the previous quarter.