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Study of the Day: BNR asked Romanian companies how they are feeling. Most of them complained about the many and high taxes imposed by Finance, but also about the bureaucracy of officials

Key Findings:

  • Over half of Romanian companies perceive a deterioration in the national economic situation in the last six months.

  • The main problems faced by companies are high costs, competitive pressure, and tax/regulatory issues.

  • Access to financing is the least important problem for companies.

  • Companies prefer internal resources and credit from suppliers for financing.

  • There is a low use of bank loans and EU funds.

  • The construction sector is the most optimistic, while the services and utilities sector is the least optimistic.

  • Labor shortages are a major problem, especially in construction and real estate.

  • Insolvency is most prevalent in the services and utilities sector and the retail sector.

Target Audience:

  • Romanian businesses

  • Policymakers

  • Economists

Products/Services:

  • Not directly applicable (survey results)

Description of Products/Services:

  • The BNR survey is a semiannual survey that assesses the economic situation and the main problems faced by Romanian companies.

  • The survey is conducted among a representative sample of over 11,000 companies across various sectors and regions.

Conclusions:

  • The Romanian business environment is facing several challenges, including high costs, competitive pressure, and tax/regulatory issues.

  • Companies are relying more on internal resources and credit from suppliers for financing, while there is a low use of bank loans and EU funds.

  • Labor shortages are a major problem, especially in certain sectors such as construction and real estate.

  • Insolvency is a concern, particularly in the services and utilities sector and the retail sector.

Implications for Brands:

  • Businesses should be aware of the challenges faced by Romanian companies when operating in the country.

  • Brands can tailor their products and services to meet the specific needs of Romanian businesses.

  • Brands can partner with Romanian companies to expand their reach in the market.

Implications for Society:

  • The challenges faced by Romanian companies could hinder economic growth and job creation.

  • Addressing the concerns of businesses could help to improve the overall business environment in Romania.

  • Labor shortages and insolvency could have a negative impact on the Romanian economy.

Additional Notes:

  • The survey was conducted in March-April 2024.

  • The sample includes companies of all sizes from various sectors and regions.

  • The results of the survey are used by the BNR to inform its monetary policy decisions.

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