Acta Universitatis Danubius. Œconomica, Vol 11, No 4 (2015)

The Impact of Foreign Direct Investment on Economic Growth: The Case of Romania

Sarbu Maria Ramona, Lenuta Carp (Ceka)


In the context of the current trends there is highlighted the interest in the emerging economies to attract foreign capital in the form of foreign direct investment (FDI) as a source of external financing and economic recovery factor. FDI are objectively necessary for these countries given their role in increasing the competitiveness of emerging economies. Although foreign direct investments in emerging economies are well under the required level, the impact of FDI on emerging economies is different from one country to another, depending on a number of factors, on the actual conditions existing in each country, including the role that there is attributed to FDI within development strategies of the emerging economies. Theoretical and empirical studies have attempted to explain the phenomenon of FDI through their economic and financial implications, considering their resilience, stability and dominant character of all types of foreign investments. The purpose of the paper is to analyze the trends of FDI flows and the impact that FDI inflows exert on the economic growth of Romania. The results show that FDI has a positive effect on the economic growth for the period analyzed 2000 - 2013.


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