Romania’s Decision Makers | Editorial Series by The Diplomat-Bucharest  

Romania is entering a new phase of economic development—one that is no longer defined by catching up, but by the opportunity to lead. In sectors such as energy infrastructure and digital capability, the country has the potential to become a key engine of growth in Central and Eastern Europe. Investors entering the market today are not only participating in this growth story, but actively contributing to shaping its next chapter.

With strong engineering talent, a dynamic technology sector, and an expanding industrial base, Romania is well positioned to move toward higher value-added activities. This transition, however, will depend on continued investment in infrastructure, energy systems, and digitalization—areas that are increasingly defining competitiveness in modern economies. At the same time, growth will be driven not by lower costs, but by smarter technologies and more efficient systems.

As a member of the European Union, Romania benefits from access to significant investment programs, while its strategic position and industrial capabilities support long-term growth. In this context, The Diplomat-Bucharest interviewed Alexandru Chiriță, CEO of Electrica, on the evolution of the energy sector and its role in Romania’s broader economic development.

From your perspective, how attractive is Romania today compared to other CEE markets when you allocate capital and investments?

Romania remains one of the most interesting markets in Central and Eastern Europe because it combines scale with untapped potential. It is one of the largest economies in the region and still has significant space for infrastructure development and industrial expansion.

From an investor’s perspective, this matters. Mature markets often offer stability but limited growth, while Romania still has room to build new capacity in energy, logistics and industry.

In many ways, Romania is no longer just catching up with the region. In sectors like energy infrastructure and digital capability, it has the potential to become one of the engines of growth in Central and Eastern Europe. Investors who enter the market today are not only participating in growth, but also helping shape the next phase of its economic development.

How do you evaluate Romania in terms of cost competitiveness versus productivity and value creation? 

Romania has historically benefited from cost competitiveness, but the next phase of development will depend more on productivity and value creation.

The country already has strong engineering talent, a dynamic technology sector and a growing industrial base. If these strengths are combined with better infrastructure and digitalization, Romania can move decisively toward higher value-added activities.

The next phase of Romania’s development will not be defined by lower costs, but by better infrastructure and smarter technology. Countries that invest in these areas create the conditions for innovation, industrial growth and higher productivity across the economy.

What are the top three factors that most influence investment decisions in Romania: regulation, infrastructure, talent, taxation, or market size? 

For infrastructure investors, three factors stand out.

First is demand. Romania is a large energy market, and electricity consumption is expected to grow as industry electrifies and new technologies expand.

Second is access to capital and financing structures capable of supporting large infrastructure projects. Energy networks, generation assets and storage facilities require substantial investment and long development cycles.

Third is talent. Romania has a strong engineering tradition and a new generation of specialists in energy systems, digital technologies and automation. This combination of market scale, financial capacity and technical expertise makes complex projects feasible.

How could public authorities better support large investors and strategic industries?

Large investors value clarity and efficiency above all else.

Projects in sectors such as energy or infrastructure often require years of preparation, multiple permits and coordination between institutions. When administrative processes become unpredictable or overly complex, investment timelines expand significantly.

Public authorities can make a major difference by simplifying procedures and ensuring that institutions work in a coordinated way. When permitting frameworks are transparent and decisions are taken in a timely manner, investment accelerates naturally.

In many cases, improving institutional efficiency can have a greater impact on investment than introducing new incentives.

What should Romania change in education or workforce policies to better match business realities?

One of Romania’s greatest strengths is its technical talent, but the education system must evolve alongside the economy.

Industries today require skills that combine engineering, digital technology and data capabilities. Energy networks, for example, are becoming increasingly digital and automated, which means future engineers will need hybrid competencies.

Stronger partnerships between universities, vocational schools and industry would help align training with real economic needs. Dual education programs and applied research initiatives are particularly effective.

Preparing the workforce for technological change will ultimately determine how competitive Romania becomes in the coming decade.

How confident are you about Romania’s economic outlook for 2026-2030?

Romania has solid fundamentals for sustained economic growth. EU membership provides access to significant investment programs, while the country’s industrial base and strategic position in the region support long-term development.

The coming years will likely be defined by large investments in infrastructure, energy systems and digital capabilities. These investments will shape how competitive the economy becomes in the next decade.

Romania still operates below its full economic potential. If investment programs are implemented effectively and institutional capacity continues to improve, the country could experience a period of accelerated economic modernization.

Where do you see the biggest growth opportunities during this period? 

One of the strongest growth drivers will be the electrification of the economy. As industries decarbonize and technologies evolve, electricity demand will increase across sectors such as transport, manufacturing and data infrastructure.

This transformation will require significant upgrades to distribution networks, the integration of renewable energy and the deployment of storage solutions.

Another opportunity lies in regional energy integration. As interconnections improve, Romania can become an important balancing hub within the wider European energy system.

Energy infrastructure will therefore play a central role in the country’s economic expansion.

What investment priorities will define your company’s roadmap in Romania over the next 3-5 years?

For Electrica, the priority remains the modernization of energy infrastructure. Distribution networks are the backbone of the energy system because they connect generation capacity with consumers and integrate new technologies.

Over the next few years we will continue investing in grid resilience, digitalization and the expansion of network capacity. At the same time, we are developing renewable generation and energy storage projects.

These investments are essential not only for the energy transition but also for economic development. A strong energy system supports industrial growth, technological innovation and long-term energy security.

What should Romania’s economic strategy prioritize to stay competitive in the next decade? 

Romania’s competitiveness will increasingly depend on productivity and technological capability.

Investment in energy systems is particularly important because reliable infrastructure enables industrial development and supports digital industries that require stable electricity supply.

At the same time, improving connectivity between regions through transport and digital networks can unlock economic potential that remains underutilized.

A competitive economy is ultimately one where infrastructure, industry and technology evolve together rather than in isolation.

Which three reforms would have the greatest positive impact on business confidence? 

The priority should be administrative efficiency. Large infrastructure projects often face delays because permitting processes are fragmented and involve multiple institutions.

Second, Romania should accelerate the use of European funding. These resources can significantly improve infrastructure, support innovation and stimulate private investment.

Third, stronger collaboration between public authorities and the private sector can improve policy design. Businesses often have practical insights that help ensure regulations are both effective and implementable.

When these elements work together, investment confidence increases naturally.

What industries could realistically become Romania’s strategic champions by 2030? 

Energy will remain one of Romania’s defining sectors, especially as the country expands renewable generation and modernizes its grid infrastructure.

Advanced manufacturing also has strong potential. Romania already plays an important role in European industrial supply chains, particularly in automotive and industrial components.

The technology sector represents another major strength. Romania’s reputation in software development and digital services continues to grow, and this expertise increasingly intersects with industries such as energy and manufacturing.

These sectors together can form powerful economic clusters with strong regional relevance.

If you were advising policymakers tomorrow, what one message would you deliver? 

Economic development rarely comes from pursuing too many priorities at once. The countries that move fast usually focus on a few major national projects and pursue them consistently over time.

For Romania, these projects should include modern energy infrastructure, industrial competitiveness and technological capability.

When these pillars develop together, they reinforce one another and create sustainable economic momentum.

The key message would therefore be simple: focus on a few strategic directions and execute them with determination. Consistency in implementation often matters more than the number of initiatives launched.

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Electrica Group is a key player in the electricity supply, distribution and production market in Romania, as well as one of the most important players in the energy services sector. 

The Group provides services to about 4 million users, with a coverage of 18 counties from three geographical areas for the distribution of electricity (Northern Transylvania, Southern Transylvania, Northern Muntenia), and across the country for the supply of electricity and for energy maintenance and services. 

As of July 2014, Electrica, the holding company of the Group, has been listed on the Bucharest and London Stock Exchanges, with a majority private shareholding. It is the only Romanian listed company that operates in an integrated manner in the fields of electricity distribution, supply, and production.