Reasons,For,Investing,Romania, finance, share, loan 10 Reasons For Investing In Romania


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1. The economy becomes stronger and strongerThe statistics is showing that Romania has the most fast growing economy in the EU after Estonia, Latvia and Lithuania. After the major changes Romania has been through starting the 90’ with the big achievement in 2007- entering to the European Union, Romania kept getting stronger and stronger 2. Fast growing GDPGDP (purchasing power parity) has reached US$$197.3. It is growing and growing in more then 20% per annum. This rate is definitely setting Romania as one of the largest economies in Eastern Europe.3. More foreigners are coming to invest!Foreign direct investment (FDI) which started to gain popularity at 2001, has been growing extremely fast by reaching over €5,000 million in 2005, and more the €8,000 million in 2006. Major Companies from all over the world have been coming to invest in Romania in the last few years and among them also private investors who feel it’s the right time to invest.Most of the FDI – 55%, is still in Bucharest.4. Falling Inflation2005 also saw inflation fall to a record low of 7.5% from dizzying heights of 22% in 2002, and it is expected to fall to 3.8% by 2007. With inflation under control, this will inevitably lead to more confidence in the property buying market. 5. Increasing Employment Unemployment fell to 6.2% in May 2006 (less than 3% in Bucharest) which is lower than that of many more developed European economies. The rate is keep getting lower and lower.      Romania has a leading role in attracting FDI Eastern Europe. In 2005, out of the total EUR 10.4 billion in FDI attracted by countries in the region, Romania received half of these inflows. 6. EU FundingRomania gained the most substantial funds in terms of EU funding per capita between 2004 and 2006. For the years 2007-2013, Romania will receive an additional €30 billion, the highest allocation of all the new EU member states.According to Mentor invest research ,most of this funds will be invested into the local infrastructure such as - road, hospitals, schools, bridges etc. The EU funds will assist in this case also in creating more jobs and therefore more potential customers who is looking to buy/rent properties. As far as it looks…the boom is yet to come! 7. The tourists are coming! The tourism industry in Romania is becoming more and more important. In 2006 – the incomes was more then $8 billion from tourism only with a 7.4% annual growth forecasted over the next ten years (Source: World Travel and Tourism Council).8. Estimation for total increasing (based on the salaries increasing 14% per year)We already witnessed a dramatic growth in the employee’s minimum salary rules in Romania.The salaries increasing are not over yet…the estimation is a continuing growth in the salaries of 14% per year. For now the Romania average salary is almost 15% from the average EU salary.If Romanian wages and salaries continue to increase by this average (as they have done during the previous 6 years),the percentage will double around every six years. In order for wages to rise to the current level of the EU average, it will take 29 years. That is assuming the euro wages increase by 5% per year and Romanian wages increase by 14% percent over the same period. These trends will create in addition to the growing employment an increasing need for properties in Romania.The EU average monthly salary is currently €2,400 per month.  9. Romania has the lowest tax rates in the European Union. In 2005 the Romania Government introduced a flat rate of only 16% for income and corporation tax. This tax is helping Romania to become more attractive for foreign investors who seek for new business locations. Recent fiscal reforms have helped Romania to become more competitive and have also served to push the property market – and promote Romania as a modern low tax country.  10. The best prices per SQM in the area!It continues to amaze us…when a land is sold in amazing prices again and again.In the local reality here at Romania, it is perfectly reasonable that you will buy a land at 200€ /sqm and sell it in 600€/sqm after 3 months. No matter the price tag you will put on your property – it will be sold and fast. If you still need more reasons to come and invest in this paradise…Contact us and visit our web site – http://www.mentor-invest.com/

Reasons,For,Investing,Romania,

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