Non-residents’ direct investment (FDI) in Romania totalled EUR 3,736 million in the first ten months of the year, of which equity (including estimated net reinvestment of earnings) amounted to EUR 2,951 million and intercompany lending recorded a net value of EUR 785 million.
Thus, according to National Bank of Romania (BNR) data, FDI posted an increase of 9 percent in January-October 2016, in year-on year comparison, representing a record level after 2008.
Central bank’s monthly revised series show that FDI were worth EUR 3.1 billion after the first nine months of this year. In October the FDIs value amounted to EUR 593 million.
At the same time, in January – October 2016, the balance-of-payments current account posted a deficit of EUR 2,919 million, compared with EUR 1,055 million in January – October 2015; the goods balance and primary income balance recorded higher deficits, by EUR 1,506 million and EUR 729 million respectively, the surplus on secondary income narrowed by EUR 262 million, while that on services widened by EUR 633 million.
Long-term external debt at end-October 2016 stood at EUR 70,385 million (76.3 percent of total external debt), down 0.2 percent from the level reported at end-2015. Short-term external debt at end-October 2016 amounted to EUR 21,828 million (23.7 percent of total external debt), up 9.8 percent against end-2015.
In the period under review, total external debt increased by EUR 1,779 million, of which the public debt increased by EUR 1,568 million and the non-publicly guaranteed debt by EUR 533 million, while the monetary authority’s debt declined by EUR 322 million.
Long-term external debt service ratio ran at 25.9 percent in the first ten months of the year against 38.5 percent in 2015. At end-October 2016, goods and services import cover stood at 6.5 months as compared with 6.4 months at end-2015.
At this year’s end-October, the ratio of BNR’s foreign exchange reserves to short-term external debt by remaining maturity came in at 93.7 percent, against 97.9 percent at end-2015.