Romania could lose EUR 2.6 bln if British firms leave the country

Romania’s economy would lose EUR 2.6 billion if the British investors active in the local market left the country, according to a study by financial consultancy firm KeysFin. There are close to 1,100 companies in Romania whose majority shareholders are officially registered in Britain. These companies had a cumulated turnover of EUR 2.65 billion in 2014, up from EUR 2.4 billion in 2010. British companies are most active in the pharma sector, where they had a turnover of over EUR 447 million in 2014, beer industry, where their sales reached EUR 315 million, and automotive sector. They also operate in software production, trade, clothing manufacturing, tobacco, and gambling industry. The analysis includes only the companies whose majority shareholders are British. However, there are also British groups that invest in Romania through subsidiaries registered in other countries. For example, cigarette distributor British American Tobacco Trading is by far the biggest British company in Romania, with a turnover of EUR 1.65 billion in 2015. However, BAT hasn’t been included in the KeysFin statistic, as it is officially controlled by British American Tobacco GMBH, which is registered in Germany. editor@romania-insider.com