STRENGTHS
  WEAKNESSES

A large domestic market, the second largest in Central Europe

Romania received 9 bln euros in foreign direct investments in 2006.

The price of an average 100 sm2 apartment increased from $25,000USD in 2002 to a staggering 110,000 € in 2007.

Ideally located for goods transiting between: Caspian Sea, Black Sea, Western Europe

Available facilities offered by the Free Zones

Extensive maritime and river navigation facilities

The ongoing political turmoil is expected to have a negative impact on economic policy management, with the government failing to tighten fiscal or wages policies sufficiently to prevent a resurgence of inflationary pressures later this year and a growing external deficit.

Corruption has been a big drawback in Romania, making the market very unstable and unpredictable. Progresses have been made but, however, the problem is not completely eradicated.

Also, the current-account deficit increased by 166% year on year in January-February to reach more than €2bn (US$2.7bn), adding to concerns about the economy's overheating.