The benefits to invest in Romania

With a potential market of 21 million consumersRomania is one of the most dynamic economies in Central and Eastern Europe. Member of the European Union since 2007, Romania is strategically located at the intersection of several corridors of the region and provides access to the European market channel. The Romanian economic environment offers to international companies the opportunity to establish here a European platform to enter new markets, internationalize its production and develop new partnerships in fields as procurement or outsourcing.

 

The main advantages

that attract the investors to come in Romania :

 

 The Romanian market and the geographic position : 

  • One of the largest markets in Central and Eastern Europe (2nd, over 21 million people)  
  • Acces to the European market (500 million consumers)
  • Attractive location – located at the intersection between the EU, the Balkans and the CIS (Commonwealth of Independent States), Romania is crossed by three important pan-European corridors: Corridor 4, which connects the east and west of Europe; corridor 9, which connects the north and south of the continent and Corridor 7, which facilitates navigation in Europe.  
  • The port of Constanta on the Black Sea is actually the access door to the European market by the Southeast. It lies at the intersection between the European East-West trade routes but also Europe-North Africa-Middle East-Asia and about 300 km from the Bosphorus. This port can accommodate large capacity vessels (165,000 dwt) for all types of cargo and deal 85 million tonnes per year.

 

 

 Resources 

  • Competitive salaries
  • A highly skilled labor force, with very good knowledge of foreign languages (mainly English, but also French, Italian, Spanish and German), formed in technology, IT, engineering, etc..)
  • Rich natural resources, including : surface water and groundwater, fertile agricultural land, oil and gas
  • A large and varied tourism potential

 

 

 Political benefits 

  • EU Member State
  • Factor of stability in the region - a NATO member state
  • Ensuring stability in South East Europe

 

 

 International Relations 

  • Bilateral agreements on the promotion and reciprocal protection of investments
  • Bilateral diplomatic relations with 177 countries of the 191 UN member states and also the Holy See, the Sovereign Military Order of Malta and the Palestinian National Authority 
  • Member of the United Nations and other international organizations: OSCE, Council of Europe, International Organisation of Francophonie
  • Treaties of free trade with the EU, EFTA, CEFTA
  • Member of the World Trade Organization (WTO) since January 1995

 

 

 Economic benefits 

  • Air and Maritime Infrastructure developed and full modernization (16 airports and 10 seaports and river)
  • Road Infrastructure in continuous modernization (commitment in the direction of the development of highway infrastructure to the standards of the EU)
  • Mobile phone networks, well developed GSM system, with a coverage of more than 90% of the land area
  • Industrial Infrastructure highly developed, including the oil and petrochemical industry
  • More than 40 industrial parks
  • Branches and representative offices of international banks  
  • Romania has a taxation on the lowest corporate rates in Europe - 16% on accounting income. Dividends paid to a Romanian company are subject to a withholding tax of 16% from 1 July 2010. Dividends distributed to a foreign company or to a non-resident individual is also subject to a withholding 16%, unless the provisions of the tax treaty to avoid double taxation or the parent-subsidiary directive provide for a reduced rate.
  • Tax on reinvested profit 0 
  • Access to State aid schemes and European funds 
  • Increased interest from foreign investors - the second destination of the ISD flux in the region (source: 2010 AT Kearney Foreign Direct Investment Confidence Index)
  • Fiscal policy (corporate rate of 16%)

 

 

 Social benefits 

  • Agreements between the Government and the representative unions 
  • Absence of major trade union movements 
  • Labour market and labor relations regulated by the Labour Code 

 

 

 Legislative benefits 

  • Legal regulations similar to those of the EU
  • Fiscal policy regulated by the Fiscal Code