The recent negative economic data which drew the attention of local politicians are the result of legislation that was adopted without proper impact assessments that could have anticipated it, according to the Foreign Investors Council (FIC), one of the biggest business organizations representing foreign investors in Romania.

FIC’s reaction came after the leader of the ruling Social Democratic Party (PSD), Liviu Dragnea, blamed multinationals for the higher inflation rate in the first months of this year. The annual inflation rate reached 5% in March and Dragnea said on Thursday last week this was due to foreign companies that increased the prices of import goods.

“The political discourse which aims to blame certain market actors, who’s opinions were ignored during the consultation period, serves solely to deteriorate the trust of the business community in Romania,” reads FIC’s statement.

“The massive investments anticipated by policy makers will fail to materialize unless this trust is rebuilt,” the organization added.

FIC also reminded that the foreign investors’ trust in the local economy has deteriorated, according to the most recent business sentiment surveys.

FIC brings together 130 companies with a total of 186,000 employees, which generate almost a quarter of the total turnover in Romania’s economy.

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editor@romania-insider.com