Stock Exchange has lost touch with the economy in recent years

Can the Romanian economy develop without a strong capital
market? This should be one of the fundamental questions the state
and private environment should ask themselves if they truly want to
find solutions to exit the crisis. Because funding is probably the
main problem of domestic companies at this moment and the past two
years of crisis have shown that the policy of exclusively relying
on foreign capitals is very dangerous particularly for Romanian
privately held companies, most seriously hurt by the wave of
insolvencies. This has happened as the Stock Exchange has been
marginalised and has not gained the role of economy lender, by
raising capital from private investors and directing them to
companies. Statistical data show the Bucharest Stock Exchange has
never been a real rival to banks, in the context where it did not
manage to attract companies willing to raise funding during the
peak years, before the onset of the crisis. The fact that the BSE
was harder hit than the markets in the region and the Romanian
economy is more vulnerable at this moment is due, however, to the
very fact that the two have not managed to depend upon each
other.