Romania's government to distribute 90% of state companies' profits by 2028

04 February 2025

The government of Romania will continue to distribute as dividends, from the companies it controls, at least 90% of net profits until 2028, according to the Report on the Macroeconomic Situation for 2025 and the Projection for 2026-2028 accompanying the state budget law consulted by Cursdeguvernare.ro.

"When estimating budget revenues for the period 2025-2028, the annual distribution of a minimum of 90% of the net profit achieved in the form of dividends/payments to the state budget for national companies and companies with full or majority state capital, as well as autonomous public utilities, as well as the influence of the legislative measures introduced by emergency ordinance 156/2024, was taken into account," the report reads.

The government began taking 90% of the profits of companies in which it has majority stakes as dividends in 2017, and in some cases even requested dividends from the financial reserves of state-owned companies.

This policy was implemented as a result of decreased taxation and an increase in the budget deficit as public sector salaries and pensions were increased.

iulian@romania-insider.com

(Photo source: Adrian825/Dreamstime.com)

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Romania's government to distribute 90% of state companies' profits by 2028

04 February 2025

The government of Romania will continue to distribute as dividends, from the companies it controls, at least 90% of net profits until 2028, according to the Report on the Macroeconomic Situation for 2025 and the Projection for 2026-2028 accompanying the state budget law consulted by Cursdeguvernare.ro.

"When estimating budget revenues for the period 2025-2028, the annual distribution of a minimum of 90% of the net profit achieved in the form of dividends/payments to the state budget for national companies and companies with full or majority state capital, as well as autonomous public utilities, as well as the influence of the legislative measures introduced by emergency ordinance 156/2024, was taken into account," the report reads.

The government began taking 90% of the profits of companies in which it has majority stakes as dividends in 2017, and in some cases even requested dividends from the financial reserves of state-owned companies.

This policy was implemented as a result of decreased taxation and an increase in the budget deficit as public sector salaries and pensions were increased.

iulian@romania-insider.com

(Photo source: Adrian825/Dreamstime.com)

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