Economy and Investment


Romanian economy moved, after the fall of the communist regime in December 1989, from the central planning economy to a market economy. The country has seen the process of a wide privatization which led to the increase of foreign investments, that reached 9.5 billion Euros in 2008 and then they gradually declined because of the European economic crisis. The Romanian economy is no longer under the state administration, as it was 30 years ago, and the activities of private companies exceeded more than 240 billion Euros, mostly foreign companies.

The value of the Gross Domestic Product (GDP) in Romania in 2015 was equivalent to 157.55 billion Euros, with an annual growth rate of 4.3%. The industry is a leader sector of the national economy, as Romania produces cars and locomotives for trains, metal and electrical products. This sector grew by 6% in the same period.

As for agriculture, it is still a vital sector for about 30% of the population, and there are 12 million hectares of arable land in addition to the forests, lakes, rivers. Romania produces various field crops especially wheat, barley, rice and maize in addition to fruits and livestock production. The contribution of the agricultural sector is fluctuant.

The number of the working population in Romania reaches 8.249 million people, and there are 585 thousand unemployed that represent 6.4% of the active population. More than 3 million Romanians  are currently working outside Romania, especially in the EU countries, and their remittances constitute an important source of the economy.

Romania's exports reached, at the end of 2015, the value of  54.6 billion Euros, and the annual import value of 62.9 billion Euros, which caused a deficit in the budget amounted to 8.3 billion Euros. Around 72% of Romania's foreign trade is done with European Union countries and the government is seeking to revive and develop its foreign trade with a number of countries, including those in the Middle East and Asia.

Romania is an attractive country in Europe for investment in sectors such as tourism, constructions, shopping centers, banks and agricultural production, as well as mineral waters that can be provided to Europe for 25 consecutive years, and has 60% of the fresh mineral waters.

Romanian economy has achieved stability in the past years, the inflation rate did not exceed 0.8% in 2015, while the deficit of the balance of the current account did not exceed 3% in 2015. The central bank reserves raised to 36 billion Euros  next to large quantities of gold worth four billion Euros. The value of government debt in the medium and long term decreased to around 70 billion Euros and the value of public debt reached to 89 billion Euros.

Romanian national currency "Leul" has maintained on its value towards the hard currency, as it is under the direct or indirect influence of the Central Bank of Romania and fluctuations of the international market. It is currently valued at 4.45 per euro and 3.89 per dollar, its exchange rate rises and falls inside insignificant limits. Romania is aspiring to enter the euro area, after meeting most of the requirements of the Maastricht Treaty, but didn't establish a deadline for that.

Romania has facilitated the establishment of foreign companies operating on its territory and within few days, with a small amount of capital and a pre-plan of work one can establish a company. And there are still many opportunities for investment in various activities.