Energy, banking and construction firms face high levels of corruption risk in Romania – Maplecroft briefing
Corruption Risk Briefing - Romania
The Corruption Risk Briefing on Romania analyses the effectiveness of the domestic legislative framework in tackling corruption, the prevalence of corruption in government and the public and private sectors, and the highest risk sectors of the economy.
Although there is a dedicated anti-corruption law and a National Anti-Corruption Strategy, concerns persist over weak implementation of the law and other international agreements that Romania is signatory to. Prosecution remains inefficient and subject to delays, and sentencing tends to be relatively lenient. The European Commission has expressed particular concern over manipulation of the judiciary and agencies charged with investigating corruption, which has undermined enforcement. In a number of cases, parliament has refused to allow investigations into alleged cases of corruption, effectively providing immunity to MPs.
Corruption is widely perceived to be pervasive within Romanian business culture. Businesses are highly likely to face demands for bribes in return for the award of contracts and the expedited completion of bureaucratic procedures. Meanwhile, high levels of tax evasion indicate widespread complicity between businesses and government tax officials.
Corruption scandals have had a particular impact on the energy sector; deals to provide electricity at below cost-price to local firms have attracted suspicion of corruption in contract negotiations. The construction sector has also been affected by allegations of embezzlement of road-building funds and widespread bribery in the award of building permits. Meanwhile, fraud continues to undermine confidence in the banking and financial services sector.
In-depth country risk reports, briefings and election monitors are available for all countries and sectors. Register for trial access to see examples.
- For more information contact:
Head of Communications
Tel: +44 (0)1225 420000