Bucharest, Romania, November 7, 2007
— The government of Romania has asked IFC, a member of the World Bank
Group, to help it conduct a study of the country’s competitiveness. The
objective is to develop a strategic approach to enhancing the country’s
competitiveness and to address the challenges of globalization and Romania’s
recent accession to the European Union.
The project will assess Romania’s viability
as a location for private investment, benchmark the key sectors in which
the country has a comparative advantage, and prepare a strategy for building
on these advantages. The study will make recommendations for implementation,
including policies and institutional reforms for increasing the strategy’s
impact and sustainability.
Romania’s accession to the European
Union this year has had a significant effect on the country’s economy,
particularly in the manufacturing sector. Removing trade barriers will
increase global pressures, especially competition from other EU members.
The government is aware of the need to implement a structural reform program
to cope with these market forces. Hence it is targeting high and sustained
growth across key industrial sectors as one of its key economic development
The government has established a team
led by Ion Ghizdeanu, President of the National Commission for Prognosis,
to collaborate with IFC on the project. The team also includes representatives
from the Ministry for Small and Medium-Sized Companies, Trade, Tourism,
and Liberal Professions; the Ministry of Agriculture and Rural Development;
and the Ministry of Economy and Finances. Arthur D. Little, the international
consulting firm, has been commissioned by IFC to conduct the study, which
is cofunded by IFC and the government of Spain. The local partner is the
Group of Applied Economics.
Margo Thomas, IFC Business Enabling
Environment Manager and Regional Program Coordinator, said, “This project
demonstrates IFC's commitment to supporting Romania's efforts to increase
competitiveness and generate sustainable economic growth.” IFC’s investments
in Romania are valued at $1 billion.
IFC, a member of the World Bank Group,
fosters sustainable economic growth in developing countries by financing
private sector investment, mobilizing private capital in local and international
financial markets, and providing advisory and risk mitigation services
to businesses and governments. IFC’s vision is that poor people have the
opportunity to escape poverty and improve their lives. In FY07, IFC committed
$8.2 billion and mobilized an additional $3.9 billion through loan participations
and structured finance for 299 investments in 69 developing countries.
IFC also provided advisory services in 97 countries. For more information,