Hungarian firms take 1.5bn in Romania

Hungarian investments in Romania are likely to hit a record value of almost 1.5 billion euros this year considering new projected inflows on the market, and the fact that the Hungarian firms already present on the market have expansion plans, Hungarian Trade Office in Bucharest estimates.

“Some projects are confidential for the time being, but there are some certain facts confirming our prognoses. Expansion by some companies such as MOL, OTP, Gedeon Richter or Dunapack, investments announced by TriGranit in Bucharest and Cluj to reach almost one billion euros, as well as the new real estate, commercial centres and logistics (IT&C) development plans, allow us to anticipate the volume of Hungarian capital will hit 1.5 billion euros in 2005,” Halasz Janos, manager of the Hungarian Public Interest Company for the Promotion of Investment and Trade (ITD Hungary) of which the Hungarian Trade Office is part, told ZF Transilvania.

More than 600 Hungarian firms were registered in Romania in 2004 alone, the most significant increase after 1990. Share capital increases doubled up as compared to 2003, reaching 160 million euros. The increase is also reflected in the subscribed share capital, which stood at 240 million euros at the end of 2003, and 310 million euros on November 30th, 2004.

“In the wake of Hungary’s accession to the European Union, Romania has come to neighbour the community economic space. This has sped up Hungarian investments in the candidate country by the EU’s border,” Halasz also said.