Foreign companies carried out direct investment worth EUR 655 million in Romania in the first two months of this year, down 1% compared to January-February 2016, according to data released yesterday by Romania’s National Bank (BNR).

In the first two months of 2016, foreign direct investment in Romania amounted to EUR 661 million, according to data revised by BNR.

The equity investments, including the reinvested profits, totaled EUR 834 million at the end of February this year while the intra-group loans generated net outflows worth EUR 179 million.

Foreign direct investment is considered the most beneficial investments made by foreign companies in the economy, because they are carried out on the long term and usually have positive effects on the economy and wages. In 2016, the foreign direct investment in Romania reached EUR 4.08 billion, a record level of the last eight years.

The foreign direct investment fully covered Romania's current account deficit, estimated at EUR 4.1 billion last year, according to preliminary data from the central bank.

editor@romania-insider.com