Foreign Investments in Romania Drop by Nearly 33% in 2023

Foreign Direct Investment (FDI) net flows in 2023 stood at EUR 6,748 million, according to a statistical survey on foreign direct investment (FDI), conducted by the National Bank of Romania, in cooperation with the National Institute of Statistics.

EUR 6,996 million represented enterprises’ equity (of which equity capital worth EUR 2,070 million and reinvestment of earnings worth EUR 4,927 million), while EUR 248 million were debt transactions with foreign direct investors and non-resident fellow companies computed as debt (EUR 1,096 million) less claims (EUR 1,344 million).

The same survey says that FDI position as at 31 December 2023 amounted to EUR 118,231 million, of which: EUR 84,759 million equity positions, including reinvestment of earnings (71.7 percent) and EUR 33,472 million debt positions in relation to foreign direct investors and non-resident fellow companies (debt less claims) (28.3 percent).

BNR’s study also notes that non-resident’s income from FDI in 2023 amounted to EUR 11,865 million, of which:

    • Net earnings on equity were EUR 10,764 million representing the direct investors’ share in the net profit, tantamount to EUR 14,354 million of FDI enterprises, less their share in the loss, EUR 3,590 million, of FDI enterprises.
    • Net income from interest, computed by subtracting from the interest received by foreign direct investors on lending to their enterprises in Romania, the interest paid by foreign direct investors for the borrowing from their enterprises in Romania – either directly or via fellow companies, stood at EUR 1,101 million.
BNRequity capitalFDIForeign Direct InvestmentNational Bank of Romania
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