Approximately 43% of German companies in Romania forecast a worsening of the economic situation in the next 12 months, while 44.8% believe that the situation will remain unchanged, shows a survey by the Romanian-German Chamber of Commerce and Industry (AHK Romania), conducted in the fall of this year.According to a press release of the organization, the survey assesses the main factors that define Romania as an investment location.Approximately 60 companies, mostly from industry and construction, expressed their opinions on the current situation of their businesses, the economic development in Romania, investment intentions and competitiveness, the same source specifies."Economic expectations have deteriorated. Only 12% of the companies surveyed believe that the economic situation will improve in the coming year, while 44.8% believe that it will remain unchanged, and 43.1% estimate that the economic situation will worsen," the survey authors claim.According to the same source, the willingness to invest has decreased compared to the spring survey. Many companies intend to reduce their expenses (24.1%), and over 10% declare that they will not invest at all.At the same time, hiring intentions have visibly decreased, with a quarter of respondents anticipating a decrease in the number of employees in the next 12 months.The main risks to economic development identified by German companies in Romania are: rising labour costs (32%), political and economic framework conditions (31%) and low demand for products and services (31%).The survey shows that rising costs represent a major challenge for companies. Thus, the significant increase in labour costs and raw material prices puts pressure on competitiveness."The era when Romania was considered a low-cost location is long gone. Companies are now facing significant increases in salary costs - the gross minimum wage increased from 2,230 RON in 2021 to 3,700 RON in 2024 - and higher raw material prices, which are considerably affecting their competitiveness. Companies need to develop new strategies to succeed in an increasingly demanding market," explained Sebastian Metz, CEO of AHK Romania.According to the research, low demand is another major problem. Thus, the decline in customer demand, especially in Western Europe, reduces expectations for economic growth and income. Added to this is the uncertainty regarding future economic policies.AHK Romania is the official representation of the German economy. Founded in 2002, AHK has over 650 member companies and offers companies an important platform for networking, exchanging information and experiences. Through the services it offers and the events it organizes, AHK Romania actively supports German companies in their entry into the Romanian market and is also a partner of Romanian companies interested in the German market.
Romania, which for years ranked last in the EU for packaging waste recycling, now stands at the forefront of Europe’s circular economy, proving that a country with initially fragile infrastructure can implement, in record time, one of the most effective collection and recycling systems in Europe. This rapid transformation is taking place in a European […]
Tucked inside Radisson Blu Hotel, Bucharest, Ginger Sushi Bar & Lounge marks the turn of the year with an intimate New Year’s Eve dining experience built around a multi-course tasting menu. From 19:00 onwards, guests are welcomed to a carefully paced evening that blends Japanese inspiration with premium ingredients, from scallops and Wagyu to Chilean […]
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Aon Romania, part of the global group Aon plc, draws attention to the urgent need for structured solutions to protect trade receivables in an economic context characterized by high volatility and geopolitical uncertainty. The subject was central to the discussions at TRADE CREDIT TALKS - Receivable Protection in the Age of Volatility, where business leaders […]
Bucharest’s shopping centres posted mixed financial results in 2024, with major discrepancies between the city’s largest malls and mid-sized retail centres, according to financial analysis platform RisCo.ro. The data shows contrasts in profitability and turnover, as well as significant losses among some of the capital’s biggest retail projects. AFI Cotroceni recorded the highest turnover of […]
