UniCredit: FDI Flows To Romania Affected By Risk Aversion, Political Uncertainty
Foreign direct investments in Romania will remain subdued in 2012, amid increasing risk aversion in international markets and political uncertainty on the local market, Italy’s UniCredit said in a report Thursday.
The Italian bank estimates foreign capital inflows will be mostly driven by EU-funded projects and portfolio investments.
Romanian FDI fell 36% on the year to EUR1.64 billion in the first eleven months of 2011, according to central bank data. The FDI covered 38.7% of the country’s current account deficit in January through November.
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