Foreign direct investment grew by 48 per cent to EUR 1.61 bln in the first four months of the year, against the backdrop in which it stood at EUR 279 M in April, 41 per cent lower month-on-month, the National Bank of Romania (BNR) data shows.
“The non-residents’ direct investment totalled EUR 1,164 M, of which investment in equities (including estimated net profit) stood at EUR 199 M and intercompany loans at EUR 965 M,” a BNR communiqué reads. During the same period last year, FDI stood at EUR 785 M, of which EUR 705 M represented investment in equities. The highest FDI levels this year were registered in March (EUR 476 M) and January (EUR 299 M).
Current account deficit 12-times lower
The current account of the balance of payments lowered its deficit 12 times year-on-year in the first four months of this year, from EUR 326 M to EUR 27 M, against the backdrop of a EUR 456 M rise in the secondary revenues surplus and of a EUR 74 M rise in the balance of services surplus. Thus, the balance of services registered a surplus of approximately EUR 1.93 bln, up from EUR 1.85 bln, while the balance of goods deficit grew from EUR 1.58 bln to EUR 1.76 bln, BNR data shows.
External debt falls by EUR 2 bln
The long-term external debt totalled EUR 72.23 bln on April 30 (78.3 per cent of total external debt), down by 4.6 per cent compared to the end of last year. Short-term external debt stood at EUR 20.06 bln (21.7 per cent of total external debt), up by 8 per cent. During the period analyzed, the total external debt fell by EUR 2 bln. The long-term debt’s service ratio stood at 45.2 per cent in January-April, compared to 37.3 per cent last year. The goods and services import cover stood at 6.5 months at the end of April, compared to 6.9 months at the end of December 2014.