PUBLIC DEBT ANALYSIS IN THE EUROPEAN UNION

The global financial crisis of 2007-2008 has led to a rapid build-up of public debt in some euro area countries, highlighting the vulnerabilities of indebted economies - this accumulation being perceived as a problem for the European Union as a whole. In an environment of financial instability, the rapid rise in public debt and low economic growth have determined the increase of the concerns about the need for debt sustainability assessment in many EU countries since the crisis. There has been a significant increase in government debt rates in the EU Member States, reaching in 2017 over 87% of GDP. In Romania, the public debt trend, over the period 2006-2017, the period under review, has been steadily rising, reaching​​in 2017 EUR 66647.10 million, compared to EUR 12585.6 million in 2007, indicating financing needs with an ascending trajectory and inevitably leading to increased interest rates. Reducing public debt is essential for restoring market confidence and generating room for maneuver for the state so that in the event of a future crisis, macroeconomic stabilization measures can be promoted.