Romanian companies are entering 2025 with cautious optimism, focusing on managing risks and controlling costs, according to the Deloitte 2025 Romania CFO Survey conducted at the end of last year among approximately 130 Chief Financial Officers (CFOs). 

Most of the Romanian CFOs predict an increase in revenues for this year (58%), but their share has been continuously declining over the past years, from 73% in 2021. Their expectations are in line with those of their Central European peers.

Expectations for capital expenditures (CAPEX) have dropped significantly, with only 34% predicting an increase compared to 46% last year. Meanwhile, 33% now foresee a decrease in CAPEX, rising sharply from 19% in the previous year. 

When it comes to the number of employees, 26% of the local CFOs predict an increase, a significant drop from 37% last year, while 28% forecast a decline in employment, up from 18% in the previous survey.

Risk aversion is also becoming more pronounced, with 87% of CFOs agreeing that 2025 is not the time to take on greater balance sheet risks. 

The top risks for Romanian businesses identified by the survey are related to reserved economic outlook, which will impact demand both domestically (44% of respondents expect a decrease) and from abroad (33% expect foreign demand reduction), increasing regulations (mentioned by 44% of the respondents), talent shortage (39%), and geopolitics (35%). Among the most severe geopolitical risks, the conflict in Ukraine was mentioned by almost half of the respondents (47%).

Inflation also continues to be a major issue despite projections that it will fall to 5.4% this year, down from 11.2% two years ago. This forecast remains more pessimistic than estimates by Romania’s National Bank and the National Institute of Statistics. Concerns over rising financing costs and anticipated tax increases due to measures to reduce the budget deficit are further influencing companies’ cautious approach.

In this context, cost management is the main business priority, reflected by 37% of survey respondents. Other areas on which companies in Romania will focus in 2025 are organic growth (24%), followed by growth in existing markets (8%), and the introduction of new products and services (also 8%).

“Amid expected measures for decreasing the budget deficit, when we conducted this year’s survey, we also asked the Romanian CFOs about their expectations regarding the tax system. As expected, most of them foresee increases. They also see a possible increase in the cost of financing due to the level of economic and political uncertainty. This explains partially their cautious approach to investments in Romania and is a reminder that the business environment needs political stability and legislative predictability more than anything else,” said Zeno Caprariu, Audit Partner, Deloitte Romania, and Leader of the CFO Programme in Romania.

The Deloitte 2025 Romania CFO Survey was conducted between September and October 2024. Local answers are compared to the aggregated data gathered from over 650 CFOs based in 14 Central European countries - Albania, Bosnia and Herzegovina, Bulgaria, Croatia, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Serbia, Slovakia, and Slovenia.

irina.marica@romania-insider.com

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