The current crisis has significantly affected the plans of foreign investors in Romania, according to the latest results of the FIC Business Sentiment Index (BSI) - a survey conducted by the Foreign Investors Council (FIC).

Some 38.6% of foreign investors in Romania estimate a decrease in their invested capital for the next 12 months, while 40.9% of them estimate a decrease in their employment plans in the next 12 months, the survey reveals.

The investors reduced expansion plans in line with their depressed sentiment. Some 68% of the foreign investors estimate moderate business declines due to the health crisis, while 13.6% see significant declines, according to the FIC BSI from September 2020.

In more concrete terms, 45.5% of investors expect a reduction in revenue next year, compared to only 9.6% in March 2020, and 41% see a decrease in business development, compared to 6% in March.

More than a third of the respondents (38,7%) believe the Romanian business environment has worsened recently and half of the participants in the survey perceive the attractiveness of the Romanian market as low compared to other countries in the Central and Eastern European (CEE) region.

andrei@romania-insider.com

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