Romania Budget woes hit Leu

Romania`s leu fell against the euro after an International Monetary Fund official told Reuters in an exclusive interview on April 22 that Bucharest was likely to ask for more leeway on its budget deficit target. Markets were concerned that this indicated Romania might run a higher deficit than previously thought. Several analysts, including Danske Bank, BNP Paribas and 4Cast, cited the Reuters report, saying it highlighted the weakness of the Romanian economy and that upcoming IMF talks would be tough.