|
|
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
2007 |
2008 f |
|
GDP EUR in bn |
44.33 |
48.02 |
50.35 |
53.50 |
56.70 |
|
|
|
|
GDP growth p.a. |
4.2% |
4.5% |
4.9% |
5% |
5.2% |
7.9% |
6.7% |
6.5% |
|
Inflation p.a. |
10% |
12% |
13% |
9.3% |
9.2% |
6.56% |
4.84% |
5.4% |
|
Unemployment |
8.8% |
8.4% |
7.6% |
6.7% |
6.5% |
|
4.1% |
|
|
Index of consumer prices (%) |
130.3 |
117.8 |
114.1 |
109.3 |
109.2 |
106.56 |
104.84 |
105.40 |
|
FOB exports (EUR in bn) |
12.73 |
14.67 |
15.61 |
17.70 |
18.82 |
25.85
|
24.76 |
|
|
CIF imports (EUR in bn) |
17.40 |
18.89 |
21.20 |
23.20 |
24.93 |
40.75 |
39.47 |
|
|
Exchange rate (annual average ROL/EUR) |
26,026.89 |
31,255.25 |
37,555.87 |
40,532.11 |
41,200.00 |
3.52 |
3.33 |
3.55 |
|
FDI (EUR in bn) |
n/a |
***1.1 |
***2.2 |
***5.0 |
****6.3 |
9.08 |
7 |
|
Source: National Bank of Romania, National Institute of Statistics
**Source: National Commission for Prognosis
***Source: Colliers
****Source: Wikipedia
Romania's total population is 21.7 million, making it the 9th largest in Europe. Some of the most populated cities in Romania: the first is Bucharest (more than 2 million persons), followed by Iasi, Cluj-Napoca, Timisoara, Constanta and Craiova (each of them with more than 300,000 inhabitants). These 6 towns account for more than 30% of the Romanian urban population.
According to the requirements of the EU, Romania focused on economic reforms over the past few years. Romania's macroeconomic performance has been favourable with the economy showing a constant growth. Thus GDP growth has been strong (about 5% on average since 2001) and is one of the highest in Central and Eastern Europe.
At the same time, in 2005 the inflation was 8,6% per annum, the target for 2006 being 5%.
Last year, Standard & Poor's raised Romania’s long-term foreign currency sovereign credit rating to 'BB+' from 'BB'. At the same time, the long- and short-term local currency sovereign credit ratings were raised to 'BBB-' and 'A-3', from 'BB+' and 'B', respectively. With a "stable to positive" outlook, this reflects the long term benefits from structural improvements in the public sector, coupled with EU membership. Standard and Poor's was positive for upgrading the currency to investment grade in the medium term, if further reforms were implemented. This happened on the 06.09.05 when Romania was upgraded by Standard and Poor's to BBB-.
The upgrade reflects the country's significant progress in reforming its state-owned enterprise sector, together with EU membership prospects. Romania's recent progress in structural reforms should lead to lasting improvements in public sector finances.
The gradual catch-up with the investment-grade sovereigns reflects the constant recognition of the steady progress in maintaining macroeconomic stability and enhancing microeconomic reform while decisively improving governance and business climate. Strengthening the external current account balance, further reducing inflation and sustaining rapid GDP growth against the background of an accelerated wide-ranging structural reform aims at preparing the economy for EU accession in 2007.
As a result of the significant progress towards macroeconomic performance, Romania registered an improvement of the business environment and thus the increasing of the foreign direct investment. According to the data provided by the Romanian Agency for Foreign Investments and the National Bank of Romania, the foreign direct investment in 2005 reached the record level of EUR 5197 million. The foreign investor's interest focused on those industries with a high growth rate, including automotive industry, IT & electronics industry, services, as well as the real estate market. Romania is proving to be a most interesting opportunity for investors, as the speculators are replaced by major players anxious to secure their place in a rapidly growing, increasingly stable and ever more Western environment.
The real estate sector continues to be one of the most dynamic and sought after sectors. The opening in 2004 of the National Agency of Real Estate Cadastre and Publicity contributed to the simplification of the real estate properties registration and data administration. The institution gathers under one entity the former cadastral system and land registry book. This measure represented the materialisation of one more UE standard, in order to obtain a greater information transparency in the real estate market, which is contributing to the fast growing evolution of this market.