The business environments looks fine in 2019, but there are still factors that might hamper the country's development
The lack of
transport infrastructure is a major drawback when it comes to Romania's
economic development. It's something that both domestic and foreign investors
complain about and it has been confirmed by a survey conducted by the American
Chamber of Commerce in Romania. The research covered a sample of 120 companies
out of the total 430 that are members of
AmCham Romania. Two thirds of the respondents say that the lack of
public investment programmes and policies is another weak point, while 60% are
concerned about macroeconomic stability.
In terms of performance, the year 2018
was good and very good for most companies operating in Romania. Most of them
say their incomes have increased. The most appreciated market conditions that
have helped achieve this performance are the quality of digital infrastructure,
the human resources and the taxation level. As regards 2019, the outlook is optimistic
and the upward trend in terms of revenues and number of employees has been maintained.
Still, the survey has also revealed that caution will be the key word with
regard to investment plans. Most organizations estimate investments worth up to
one billion Euros this year, as decisions on this matter are very much
influenced by political stability, investment in infrastructure and the
performance of the public administration.
According to the survey, the main
three measures that are seen as necessary to significantly improve the
investment framework are a revision of
public spending and channeling such spending towards investment, increasing the
rate of absorption of European funds and investments in infrastructure.
Companies say that Romania's advantages are its growth potential, its EU
membership and the quality of the human capital. 68% of the companies covered
by the survey have an annual turnover of over 5 million dollars.
For 25 years
now, AmCham Romania has been one of the most representative business
associations in the country, known as a promoter of public-private dialogue on
business, public policies that impact the economy, Romania's competitiveness
and the dynamics of the trade relations between the US and Romania. In
Washington, Adrian Zuckerman, nominated by president Donald Trump for the
office of US Ambassador to Romania, testified before the Senate: "Romania
needs to continue to fight against corruption, create a more investment
friendly business climate, and invest in infrastructure, health and education
and strength in public administration". Zuckerman also stated that
investors are interested in a climate that allows their businesses to help
increase Romania's sustainable economic growth, to create new jobs, to make
profit and to enlarge their companies.