FDI in Romania plunges by 60% in 2020

16 February 2021

The volume of foreign direct investments (FDI) in Romania contracted by over 60% to EUR 1.92 billion (less than 1% of GDP) in 2020, compared to 2019, Romania's National Bank (BNR) reported.

Out of the total FDI, equity investments (including estimated net reinvested profit) amounted to a net value of EUR 3.95 bln, while intragroup loans registered a negative net value of EUR 2.03 bln.

Of the total equity investments, a very narrow share accounted for new companies set up by foreign investors: just over EUR 20 mln, and this was not the case only in 2020.

The number of new firms with foreign capital set up in 2020 decreased by 26.5% compared to the previous year, to 4,084, according to data centralized by the National Trade Registry's Office (ONRC).

The 4,084 new companies had a subscribed share capital in the total amount of USD 25.91 mln, 20.5% more than in 2019.

(Photo: Wanida Prapan/ Dreamstime)

andrei@romania-insider.com

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FDI in Romania plunges by 60% in 2020

16 February 2021

The volume of foreign direct investments (FDI) in Romania contracted by over 60% to EUR 1.92 billion (less than 1% of GDP) in 2020, compared to 2019, Romania's National Bank (BNR) reported.

Out of the total FDI, equity investments (including estimated net reinvested profit) amounted to a net value of EUR 3.95 bln, while intragroup loans registered a negative net value of EUR 2.03 bln.

Of the total equity investments, a very narrow share accounted for new companies set up by foreign investors: just over EUR 20 mln, and this was not the case only in 2020.

The number of new firms with foreign capital set up in 2020 decreased by 26.5% compared to the previous year, to 4,084, according to data centralized by the National Trade Registry's Office (ONRC).

The 4,084 new companies had a subscribed share capital in the total amount of USD 25.91 mln, 20.5% more than in 2019.

(Photo: Wanida Prapan/ Dreamstime)

andrei@romania-insider.com

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