Large spending deviations by the previous government have forced Romania's current leadership to revise up its fiscal targets for 2019 and 2020, against the backdrop of a slowing economy. Planned wage and pension increases will contribute to a widening of Romania's already substantial current account deficit through 2020. While we assume significant fiscal consolidation commences next year, the rigid budget structure and volatile policy environment pose risks to that assumption. We are therefore revising our outlook on Romania to negative from stable, and affirming our 'BBB-/A-3' ratings. On Dec. 10, 2019, S&P Global Ratings revised its outlook on Romania to negative from stable. At the same time, we affirmed our long- and short-term foreign and local currency sovereign credit ratings
