FDI to Romania reached $11.4 billion last year, from which a big chunk came from the privatization of state-owned companies. FDI to Romania and Bulgaria grew significantly in 2006 as EU accession neared. The two states are now expected to take tougher measures against corruption and toward judicial independence, which will increase their competitive advantages in the region, said the UNCTAD.
“Developed states remained the main investors in the region, although the quota of transnational companies in developing countries in trans-border mergers and acquisitions rose to 16 percent in 2006 from less than one percent in 2005,” states the report.
Generally, FDI to countries in SEE and CIS went up 68 percent from 2006 to $68 billion. This is the sixth consecutive year of FDI growth in these regions and represents a significant jump from the previous two years.
Following the top two came Kazakhstan, Ukraine and Bulgaria, in that order.
Regarding outflows, the report found that investments from companies based in SEE and CIS states grew to $19 billion in 2006, from $15 billion in 2005.