Foreign direct investments (FDI) in Romania dropped during the first quarter by 13.9 percent year-on-year to 1.456 billion euros, becoming twice as large as the current account deficit, according to the information published today by the central bank (BNR), NewsIn informs.
In contrast, FDI corresponding to the first two months of the year hiked by 38.1 percent, to 1.374 billion euros.
The investments stood during last year's first quarter at 1.691 billion euros, covering 42.8 percent of the current account deficit at the time.
Of the FDI recorded this year, the capital participations accounted for 50.8 percent, the reinvested profit for 9.3 percent and the intra-group credits for the remaining 39.9 percent.
The loans contracted by companies headquartered in Romania from their mother-companies outside borders have the potential of widening the gap, as they will be returned when maturing. Their weight has nevertheless dropped from last year's 42.8 percent.
In 2008 the current account deficit was covered 53.5 percent by FDI, which amounted to 9.02 billion euros, 24.45 percent up from 2007.
Article comments "Foreign direct investments in Romania lose 13.9% in Q1"
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