Romania began the transition from Communism in 1989 with a largely obsolete industrial base and a pattern of output unsuited to the country’s needs. The country emerged in 2000 from a punishing three-year recession thanks to strong demand in EU export markets. Despite the global slowdown in 2001-02, strong domestic activity in construction, agriculture, and consumption have kept GDP growth above 4%. However, macroeconomic gains have only recently started to spur creation of a middle class and address Romania’s widespread poverty, while corruption and red tape continue to handicap the business environment. Romanian government confidence in continuing disinflation was underscored by its currency revaluation in 2005, making 10,000 “old” lei equal 1 “new” leu. The economy grew at 6.4% in 2006, the strongest growth in the last decade. Romania joined the European Union on 1 January 2007, and the IMF has praised the country’s recent reform efforts in preparation for EU accession.

Key benefits in investing in Romania

When considering Romania as a possible location for developing their businesses, the foreign investors might benefit from the advantages offered by Romania:

Attractive location costs
Romania is placed at the crossroads of the commercial routes that not only link Eastern Europe to Western Europe but also North Africa to the Middle East and Asia.

Skilled workforce
Skilled labour force, with solid knowledge in technology, IT and engineering.

Economical advantages

• Sustainable economic growth
• Functional Market Economy status
• Decreasing inflation
• Permanent financial assistance for SME's Development
• Increasing Interest of Foreign Investors
• Gross Domestic Product (GDP) was the highest in the Central & Eastern Europe in 2003-2004 and is expected to grow over the next two years

Improving infrastructure advantages

• Well-developed networks of mobile telecommunications in GSM systems
• A highly developed industrial infrastructure, including oil and petrochemicals
• Major industries are precise machinery, motor vehicles, chemicals, pharmaceuticals, electric goods, and fashion and clothing.
• The presence of branch offices and representatives of various well-known international banks
• A newly developed highway infrastructure
• Commitment to improve the highway infrastructure to EU standards.