Foreign investments down 29% to EUR 1.8 billion

Foreign direct investments went down by 29 percent in the first six months of the year, to EUR 1.8 billion, according to data from the Romanian Central Bank (BNR). These have financed just half of the current account deficit, which was of EUR 1.8 billion during this period. The main reasons for the decrease in FDI was the three-fol drop in intra-group loans, which were of only EUR 430 million. Participations in capital, which include the reinvested profit, were of EUR 1.4 billion, up 2.1 percent. The amount of foreign investments was of EUR 4.8 billion last year, down to half of the amount in 2008. Last year, the FDI covered almost entirely the current account deficit.