The government is increasing the volume of borrowings on the domestic market against the background of the fulfillment of external debt obligations. The June round increased sales: with a demand of 3.2 billion lei, the Finance Ministry offered for sale state securities worth 2.150 billion lei.
Since the beginning of the year, the demand has been steadily exceeding the supply, although the volume of issues has been growing every month. At the same time, the Ministry of Finance tried to reduce the cost of domestic borrowings, playing on the lowering of the yields of government securities and cutting off excessive demand for “expensive” securities.
Financing of budget expenditures and servicing of public debt is becoming more complicated. In 4M. In 4M 2025, the government received $58 mln in foreign loans and repaid $167 mln. The execution of state budget revenues is late, including due to the need to manage the growing public debt.
New domestic borrowings with growing demand for them will be the main source of current financing, instead of external budget support, the expert community notes, predicting further growth in the volume of SS emission.
