CONTEXT

• News.ro’s traditional annual premium event, the sixth edition being organized in the context of the severe budget crisis and economic slowdown, the objective being to support investments as a solution for the country’s development.
• In difficult economic times, it is necessary to accelerate investments and the state must give the signal. The government must implement the investments agreed with the European Union and open up business opportunities for the private sector through favorable legislation, reducing bureaucracy and digitalization.
• Private companies should also invest in innovation and development, as well as in production, which they can sell, come up with new business ideas and honor all their orders and debts.
• In a crisis, it is important for the economy to move forward, the main objectives being to encourage production and maintain economic growth.
• At the event, we aim to discuss investment projects by the state and private companies to support business development and the economy in general, as well as investment financing.

MACROECONOMIC CONTEXT

• The state budget for 2025 was built on an economic growth of 2.5% and a budget deficit of 7% of GDP, but since these figures could not be met, Prime Minister Ilie Bolojan agreed with the European Commission to close the year with a deficit of 8.4% of GDP, and in 2026 to reach 7% of GDP. The economic growth rate for 2025 was revised from 2.5% to 0.6%, but economists are skeptical.
• The general consolidated budget deficit rose to 4.54% in the first eight months of 2025, from 4.04% at the end of July, and reached 86.36 billion lei, according to data published by the Ministry of Finance. Last year, the budget deficit was 80.87 billion lei in the same period, respectively 4.59% of GDP.
• Later, the Government rectified the state budget for 2025 according to the deficit target of 8.4% agreed with the European Commission. The government has set itself the goal of maintaining an investment level exceeding 150 billion lei, regulating the amounts especially for the PNRR loan area, for key ministries that had exhausted these very important budget chapters for investments – the Ministry of Transport, Economy, Environment, Development. Thus, the budgets of these ministries were supplemented with 5 billion lei for the PNRR loans necessary for investments.
• Investments can contribute to improving estimates and better final results for the Romanian economy, with positive effects on society. “Maintaining a high level of investments is a priority to create conditions for long-term development and to ensure economic growth. The only measure we can take now is to finance investments, from any form of available resources”, says Prime Minister Ilie Bolojan.

EUROPEAN INVESTMENT CONTEXT

• Within the 2021-2027 Cohesion Policy, Romania has been allocated European funds of 31.35 billion euros, and through the Recovery and Resilience Mechanism it had an initial allocated budget of 29.2 billion euros for the implementation of the National Recovery and Resilience Plan until 2026.
• Currently, the PNRR has been reduced to 21.62 billion euros, after analyzing the status of the projects and it was found that many of the projects will not be completed by August 31, 2026, due to delays. Thus, from the PNNR, around 13 billion euros would still have to be effectively spent by August 31, 2026, in less than a year, when the last payment request should be sent.
• The implementation of the PNRR involved reforms and investments in key areas of the economy (infrastructure, education, health, agriculture, environment and energy), which were to increase the potential for sustainable growth, but there were major problems with absorption capacity, delayed reforms and postponed contract signing deadlines.
• Romania will benefit from 16.68 billion euros in funding through the European Security Action for Europe (SAFE) mechanism, according to the provisional allocations announced by the European Commission for the member states, this being the second largest allocation established by the Commission. Participation in the SAFE program has three components: defense, budget and infrastructure.
• In addition, with the advent of EU Regulation 2088/2019, ESG investments (sustainable investments) are growing exponentially, as more and more investors and issuers use ESG tools and climate data to inform their investment decisions.

DISCUSSION TOPICS:

• PNRR – main projects until 2026. Accelerating investments.
• In what areas do we invest? – State and private company investments. Foreign investments.
• State programs to support SMEs.
• Investments by companies – What development investments are being made and what proposals do companies have for the authorities?
• Investment financing – involvement of investment divisions of banks and investment funds.