#FIS2023 | Ambassadors' Fireside Chat: Business Opportunities in Romania

In the Ambassadors’ Fireside Chat │Business Opportunities in Romania of Foreign Investors Summit 2023, the ambassadors of Greece and Moldova, together with moderator Colin Lovering, explored and uncovered business opportunities and diplomatic insights in Romania, shedding light on the potential for future collaborations and growth.

H.E. Mrs. Sofia Grammata, Ambassador of the Hellenic Republic to Romania:

The strong interest of Greeks in Romania continues to grow, becoming more evident day by day. A recent example of this is the acquisition of Ener Romania by Greece’s Public Power Corporation, which is just one instance of the growing Greek investment interest in this beautiful country. Despite facing severe economic challenges for several years, I am proud to announce that Greece is now actively re-engaging with Romania.

One significant advantage Romania offers to Greek investors is its geographical proximity. The distance between Greece and Romania is only a few thousand kilometers, fostering substantial tourist exchange between the two countries. This movement, combined with our friendly relations and robust economic and commercial interactions, lays the groundwork for compelling investment opportunities.

In addition to what I have already mentioned, another attractive aspect of Romania is its highly skilled labor force and appealing tax environment. It’s notably easy to start a business in Romania. Speaking candidly, though as a diplomat, I must acknowledge that Romania exhibits considerable developmental potential. While most areas of its economy are well-developed, there is still room for improvement, particularly in road and rail infrastructure. Similarly, certain regions in Romania, while having substantial potential, are not as economically advanced as areas like Ilfov of Bucharest, Cluj-Napoca, Timișoara, Brasov, etc.

The developments concerning the port of Constanta have garnered significant attention. My friend and colleague, the ambassador of Moldova, recognizes the port of Constanta as a crucial outlet for agricultural and other exports from his country. Therefore, the ports and their surrounding infrastructure are of undeniable interest to Greece.

H.E. Mr. Victor Chirila, Ambassador of the Republic of Moldova in Romania:

In Romania, there are over six thousand companies with Moldovan capital, as per official data from Chisinau. These companies have invested nearly sixty million euros, though recent figures from Romanian authorities suggest the figure is closer to eighty-nine million euros. Romania stands as the most significant investor in Moldova, likely holding the position of the primary investor, with around three hundred million euros invested across various sectors of our economy.

Our economy is currently undergoing integration, a process aimed at establishing a common economic space that will eventually merge into the larger European common market. In line with the DCFTA agreement signed with the European Union, Moldova is set to join the European common market. Achieving this goal requires the reintegration of our infrastructure, which will significantly bolster our economic and trade relations, particularly with Romania.

Several agreements have been signed to modernize and construct new bridges to connect the transport networks of the Republic of Moldova and Romania, and subsequently with the European Union. Efforts have been made to reconnect our energy networks as well. A gas pipeline running from Iasi through Ungheni to Chisinau has already been completed. However, there’s a need to construct two high-voltage electric lines between our countries. One such line, connecting Isaccea to Vulcanesti and Chisinau, is currently under construction. Another line, which will link Balti, the second-largest city in Chișinău, and Suceava, is planned to commence next year. Additionally, next year, we anticipate initiating a substantial privatization process, particularly in the energy sector. We expect Romanian energy companies to invest in our sector by acquiring parts of our electricity network in the northern region of the Republic of Moldova. Meanwhile, this autumn, Transgaz assumed control of the gas network in the Republic of Moldova, shifting the distribution of gas from Russian control under Gazprom to Romanian and European companies.

The presence of Moldovan companies in Romania is not solely due to shared history, traditions, and culture, although these aspects facilitate their easier integration and adaptation to the Romanian market. Other factors also play a role. For instance, security is a significant concern. Because of the war, some companies have moved their equipment partially or entirely to Romania, establishing production spaces here.