Key developments and challenges

The authorities are pursuing ambitious reforms to improve the business environment and public sector governance. The government is implementing a second round of the “Regulatory Guillotine” to further reduce the regulatory burden on the economy. A law on state inspections reduced the frequency of inspections and set limits on inspectors’ discretion.

The rules on ownership and governance of banks have been improved. The central bank and the government now require prior authorisation of the transfer of banks’ shares, and parliament has approved legislation requiring greater transparency of banks’ ownership.

The ban on privatisation of a number of large enterprises was lifted. Privatisation of national railway, airline companies, Banca de Economii and the telecommunications incumbent is now permitted.