National economy of Romania - industries, GDP and prosperity level

Romania is considered an industrial agricultural country with a fairly high level of economic development. Every year, the number of highly skilled labor rises. Among all countries of the European Union, Romania ranks 11th position, although the GDP per capita of the country barely falls within average European level. Romania occupies 14th place based on purchasing capacity. Quite considerable importance is ascribed to Agriculture, accounting for almost 40% of the total economically active population, even though only 20 years ago it accounted for less than 25%. Thanks to the fact that the country has very diverse soils and climatic conditions, multisectoral agriculture has been well formed.

The leading role in it is played by the cultivation of wheat, including winter crops, barley and maize. Today, the majority of all arable lands of the country have been turned over to grain-sown area. Romania pays great attention to the cultivation of various industrial crops, including beets and sunflower. In the areas of the rivers and in the lowlands of mountain areas, excellent conditions for the development of horticulture and viticulture have been created, and industrial vegetable growing is also flourishing. In addition, a sufficiently large number of cattle are raised in the country, due to which it meets 70% of domestic demand with its own products. Swine rearing is more common in the south, and sheep breeding prevails in the southeast. Pastures are allocated 1/5th of the country.

The main industry in Romania is that of mineral extraction. Significant reserves of oil and natural gas have been recorded in the territory of the country. The mining operations are very active. The main oil producing stations are located in the region of the Carpathian Mountains. You will also find here manganese ores, coal, silver, gold and bauxite. Experts say that in the modern development of the Romanian industry, foreign investment played a great role. About 45% of all last year’s investments that came into the country directly, which is about $9 billion, came precisely from the industry sector. Copyright www.orangesmile.com

The largest automobile conglomerates are General Motors, Deo, and Renault. Also famous are large metallurgical plants, most of whose shares are in the hands of foreigners. The manufacturing industry is also gradually developing, including food, metallurgy, clothing, textile and even the chemical industries. After joining the European Union, the volume of manufactured goods in Romania from the areas of mechanical engineering, electrical engineering and machine structure, decreased slightly. Tourism plays an important role in the economic structure. Due to Romania’s unique nature, mountainous landscape, rich flora and fauna, the presence of a wide coastline, comfortable climatic conditions, foreign tourists visit the country almost all year-round. In addition, the country has a lot of mineral springs, healing mud and lakes, which are of therapeutic value.

The service sector contributes greatly to the country’s GDP. Most of this is due to the fact that Romania is located at the crossroads of major European highways. Rail, air and road transportation systems are well developed here. Today, the total length of the country’s railways is about 12,000 kilometers, and the highway length is more than 82,000 kilometers, although the quality of highways is low. The largest transportation hub, which brings a huge contribution to the country’s budget, is Bucharest. In addition, the navy of the country remains at high levels. It includes more than six hundred dry cargo vessels. The main port of Romania is located in the city of Constanta, bringing about 60% of the total foreign trade turnover of the country.

The standard of living of citizens is significantly lower that of an average person in the European Union. However, the indicators show good growth every year. This year the average minimum wage is about 320 Euros. At the same time, the unemployment figures for the previous year are about 7.5%, and this figure is the lowest among all EU countries and in the whole European zone. However, according to statistics, the country’s population is rapidly decreasing, which cannot but have a negative effect on the country’s economy. Romania’s GDP is $162 billion and about $11,500 per capita.