German companies invest over 5.6 billion euros in Romania

The German companies have invested more than 5.6 billion euros in Romania by the end of last year, while having invested a total 105 billion euros in all the states in the Central and Eastern Europe, which is in its turn a tenth part of the total direct German investments, announced the Romanian-German Chamber of Commerce and Industry, quoting the data of the German Federal Bank. investiments romania

'The Central and Eastern Europe is one of the European regions with the most dynamic economic growth, meaning a high market potential for the German companies. For a lot of international corporations, the investments in the Central and Eastern Europe are an indispensable source of profit. An average four out of five companies would invest again in the 'host-country,' reads the release from the Romanian-German Chamber of Commerce and Industry.

The German Chambers of Commerce (AHK) in Central and Eastern Europe have conducted for the seventh time the Investment Climate Survey in early 2012. More than 1,300 mostly German companies in 16 states in the region took part in the survey.Warehouses romania

The current economic climate in the country in question was deemed by most as rather bad (an average of 49 percent in the Central and Eastern Europe), and the companies do not expect significant improvements for 2012. However, the companies are confident regarding their own turnovers, as they were higher on average and new increases are expected for this year as well. As for Romania, 54 percent of the participants deem the current state of their company as satisfying, 42 percent believe it goes well. Most believe that things will remain the same for 2012 as well.

The survey reveals that the positive expectations can be perceived also in the investment targets and regarding employment. The companies aim to hire personnel in most of the countries. The answers for the investment plans are also positive.

'As a benefit of the region, I could name the workforce potential. The low costs have been praised as a benefit for the investment. The wages have gone up in Romania but the expenses incurred with the workforce are very low as compared to Germany,' the survey reads.

As regards the dissatisfactions of the German companies, they include corruption, the predictability of the economic policies, the safety of the legal environment and the transparency in public tender offers. The results of these items are poorer than a year before and Romania finds itself even below the average of the Central and Eastern Europe.

As for its attractiveness for German investors, Romania finds itself mid-table following the Czech Republic, Poland, Slovakia, Croatia, Lithuania or Latvia, but ahead of Hungary, Bulgaria or Ukraine. 89 percent of the interviewed would opt again for Romania as investment placement. Despite some problems, the investors' expectations have been met.

49 member companies in AHK Romania took part in the survey conducted in March 2012, most of them in the field of trade and services.