Foreign investments in Romania, up by almost 14 per cent

Foreign investments in Romania, up by almost 14 per cent

 

By Daniel Stroe – Bucharest

Direct foreign investments in Romania have exceeded one billion Euros over the first five months of the year, up by 13.9 % compared to the same period of 2013, National Bank’s figures show.

May alone drew the largest investments this year, namely 306 million Euros. In April, investments rose to 215 million Euros, in March they totaled 290 million Euros, in February merely 36 million Euros while in January they went to 24 million Euros.

The direct investments of non-residing entities totaled 1.09 billion Euros over the first five months of which 181 consist in intra-group loans, the National Bank announced.

Last year, direct foreign investments rose by 26.8 % compared to 2012, about 2.7 billion Euros came into Romania in 2013, the peak of the last four years, with 2012 marking the first growing trend since the economic crisis struck.

Romania’s economy had a 4 per cent growth over the first quarter compared to the same period of 2013, the largest among all the EU member states, with the exports representing the drive of this advance, the National Statistics Institute said. But the growth, compared to the last quarter of 2013, was merely 0.1 per cent. Analysts anticipate a 3-4 per cent growth in the second quarter and a slow down over the next two.

In its turn, the World Bank assessed last month Romania’s economy will grow by 2.8 % this year, up from the 2.5 % prognosis in January. In April, the International Monetary Fund said Romania’s economy will grow by 2.2 % while the Romanian Government sees the growth around 2.2-2.5 per cent. The European Commission estimates a 2.5 % growth while the local banks look at a growth varying from 2.5 to 3.5 per cent.