The volume of investments in Romania increased by 0.4% in the second quarter of this year compared to the same period of 2019.

The increase is slim and partly driven by the investments in the “others” category - meaning neither buildings nor production equipment (cars included).

However, it is still outstanding under the lockdown circumstances, subdued economic activity, and gloomy economic outlook.

Furthermore, the volume of investments in productive equipment increased by 0.7% year-on-year to RON 8.7 billion (EUR 1.8 bln). Investments in new buildings contracted by 1.9% year-on-year to RON 13.0 bln (EUR 2.7 bln) - which goes against the expansion seen in the construction sector.

The investments in other assets (including intangibles) increased by 15.5% year-on-year to RON 2.2 bln (EUR 460 mln).

Finance minister Florin Citu praised the performance and argued again for null or negative real interest rates as a driver that could preserve the investments’ momentum, News.ro reported.

(Photo: Wanida Prapan/ Dreamstime)

iulian@romania-insider.com