Net FDI in Romania shrinks by 5.4% y/y in 12 months to June

Net FDI in Romania shrinks by 5.4% y/y in 12 months to June
/ bne IntelliNews
By bne IntelliNews August 16, 2023

Net inflows of foreign direct investments (FDI) in Romania decreased by 5.4% y/y to €9.2bn in the 12-month period to June according to data published by the National Bank of Romania (BNR). 

The net FDI inflows-to-GDP ratio decreased to 3.1% from 3.9% for the 12-month period ending in June 2022. It covered 37% of the current account (CA) gap, compared to 44% for the 12-month period ending June 2022. 

In H1 this year, the net FDI inflows to Romania contracted by 10.3% y/y to nearly €4.0bn. On the upside, however, the volume of “genuine” FDI (as opposed to reinvested profits or intra-group loans) increased to €917mn in H1 this year, from net outflows of €28mn in the same period last year.

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