The World Bank has sharply downgraded its outlook for Romania’s economy in 2025, cutting its growth forecast to just 1.3%. The revised projection marks a significant downward adjustment and places Romania at the bottom of the growth chart among countries in the Europe and Central Asia (ECA) region.
This downgrade contrasts starkly with earlier estimates and is well below the Romanian government’s more upbeat economic projections. According to the World Bank, the revision reflects a convergence of adverse factors, including persistent global uncertainty, growing trade frictions, weakening external demand from key partners, and ongoing inflationary pressures within Romania.
Despite the bleak near-term outlook, the World Bank anticipates a modest rebound in 2026, with economic growth expected to reach 1.9%. Still, the outlook underscores the mounting challenges Romania faces as it navigates a turbulent international economic landscape and seeks to restore momentum in its post-pandemic recovery.