Romania's FDI dips, debt falls in early 2025

Business Forum

17 March, 2025 at 5:08 PM

FDI into Romania saw a decline in January 2025, totalling €543 million, down from €1,148 million in the same month last year, according to data from the National Bank of Romania (BNR).

Equity stakes, including estimated reinvested profits, amounted to a net €581 million, while intra-group loans recorded a net negative of €38 million.

Conversely, Romania's total external debt decreased significantly in January 2025, falling by €1,632 million to €201,943 million. Long-term external debt stood at €153,461 million on January 31, 2025, representing 76% of the total, a slight 0.6% decrease from December 31, 2024. Short-term external debt reached €48,482 million, 24% of the total, down 1.3% from the previous year's end.

The long-term external debt service ratio was 8.8% in January 2025, compared to 16.5% in 2024, indicating improved debt servicing capacity. The import coverage of goods and services slightly increased from 5.8 months at the end of 2024 to 5.9 months at the end of January 2025.

The coverage of short-term external debt, calculated at residual value, was 98.6% on January 31, 2025, compared to 100.3% on December 31, 2024.

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