In addition, title insurance is not available for property acquisitions and purchasers are potentially subject to legal challenge by former owners or managers. The absence of effective legal means for pressing claims against debtors is a further complication for foreign investors. The cost of doing business in Romania is high, particularly for office rentals, transportation, and telecommunication services. Lack of an efficient, modern payments system further delays transactions in Romania. The capital requirements for foreign investors are not onerous, but income taxes are steep.
Foreign companies investing over certain amounts qualify for some tax exemptions.
Investment barriers are few in Romania. Governmental approval of joint ventures requires extensive documentation. Romania is a member of the World Trade Organization, but not a signatory to the agreement on government procurement or civil aircraft. The Romanian government does not provide export subsidies but does attempt to make exporting attractive to Romanian companies. For example, the government provides for the total or partial refund of import duties for goods that are processed for export or are incorporated into exported products.