This year, the Central and East European bilateral German Chambers of Commerce (AHK) prepared a common survey describing the economic situation, the investment conditions and the expectations of investors from individual countries.
The current survey shows that German companies are still confident in Romania as an investment opportunity and in its future, which could party be owed to the new Government appointed in 2015. The trust in this government increased, together with a hope of enacting measures for the continuation of reforms.
The assessment of the current economic situation and the prospects of the Romanian economy, as well as the situation and expectations for own businesses in the respective sectors, increased from the previous year.
Romania sits above the average of Central and East European countries (ECE). 30% (15% in 2015) of the companies surveyed see an improved economic situation as compared to 2015, while things are unchanged for 56%. Despite ranking above other ECE countries in terms of economic prospects from last year, the number of those expecting better prospects slightly decreased to 49% (2015: 56%).
With regard to companies’ situations, the estimates are optimistic for the current year. The surveyed companies which think have a good position rank at 50% (2015: 54%), while 61% of the companies believe their situation will improve this year (2015: 75%). Thus, Romania exceeds the ECE average in this respect, even if the ratios are slightly lower than last year. Nearly half of the surveyed companies (44%) see an improvement in their prospects for 2016 as compared to last year, while 13% expect worsening conditions.
The economic framework conditions showed some improvement, but the survey also reveals there are sectors which still require significant improvement.
Particularly in the field of fighting corruption, Romania witnessed significant progress over the past two years, which are reflected in the companies’ answers.
Moreover, some lowered taxes also led to better expectations tax-wise. As in most countries in the region, Romanian companies are also dissatisfied with the level of legal certainty, tax administration and the public administration in general, while the Romanian infrastructure has been an obstacle to investments for several years now. In regard to workforce availability, may companies complain about the lack of qualified staff. Despite many German-owned companies are still unhappy with certain economic aspects, most of them would still choose Romania as an investment venue. When asked whether they would still choose our country to invest, 91% of the survey participants answered “yes”.
The survey was carried out between February 1 – March 1 2016. It was filled out by 105 majority German owned companies, of which 70% are part of a concern or group of companies. 83% of these companies are based in Germany, 7% in Austria, 10% in Romania.
About the Romanian-German Chamber of Commerce and Industry
The Romanian-German Chamber of Commerce and Industry (AHK Romania) is the official representative of the German economy and the largest bilateral Chamber of Commerce in Romania. Established in September 2012, AHK Romania currently counts more than 530 member companies. Among the services offered and the events organized, AHK Romania supports German companies newly entered on the Romanian market and is also a reliable partner for Romanian companies interested in the German market. AHK Romania is actively involved in implementing the German-based dual teaching method and provides a GreenTech platform and an own Court of Arbitration.