Romania: A Dispute Resolution Overview
Romania remains one of the most dynamic dispute-resolution markets, reflected in rising energy disputes and a growing number of construction cases. Geopolitical developments continue to shape the regional landscape: the armed conflict near Romania and extensive sanctions against Russia have heightened concerns about Europe’s energy security. In this context, Romania’s energy sector has made significant progress, with OMV Petrom and ROMGAZ advancing the development of two offshore gas fields in the Neptun Deep area. Once operational, the project is expected to produce approximately 100 billion cubic metres of natural gas, positioning Romania as the European Union’s largest gas producer.
The construction sector also remains active, although a slowdown is expected in the near term due to the suspension or postponement of certain publicly funded projects; nevertheless, ongoing projects are likely to proceed without disruption.
Arbitration
The Court of International Commercial Arbitration (CICA) in Bucharest, aligned with ICC rules, revised its procedures in January 2025, clarifying written v oral phases, expanding party-appointed experts, and updating emergency arbitrator provisions. Romanian parties also participate in international arbitration at institutions such as ICC, VIAC, LCIA, SCC, and regional bodies like the DIS.
Romania remains active in investor–state arbitration, with over twenty ICSID cases, including a 2024 claim under the Bulgaria–Romania BIT and a favourable renewable energy dispute under the Energy Charter Treaty in early 2025, highlighting its growing role in energy and investment arbitration.
General Trends
Dispute resolution in Romania increasingly reflects normal business dynamics, though energy and contractual disputes remain shaped by geopolitical developments, including the war in Ukraine and related sanctions, while real estate and infrastructure continue to attract investment and public procurement disputes remain a major source of litigation.
Public procurement is one of Romania’s most litigated legal areas due to the high value of contracts and strict regulations, including Laws 98/2016, 99/2016, and 101/2016. Disputes commonly arise over eligibility, technical specifications, and evaluation methods, with challenges filed before the National Council for Solving Complaints (CNSC) or administrative courts. The growing use of EU-funded projects has further increased scrutiny and litigation in this sector.
Legislative reforms aim to improve efficiency in procurement, including clearer negotiation rules and streamlined contractual clauses to facilitate EU-funded projects and reduce delays. In 2025, the monetary threshold for simplified proceedings was raised to RON50,000, allowing more cases to be resolved quickly based on written submissions without a second appeal.
Growth in Restructuring and Insolvency Proceedings
According to industry data, the number of new insolvency proceedings increased in 2025, up about 3.8% compared with 2024. The highest incidence was in wholesale and retail trade, construction, and transport and storage, which together accounted for around 58% of insolvencies. The total volume of refused payment instruments reached RON3.5 billion, the highest in several years. Market analysts also report a marked rise in preventive concordat procedures (221 in 2025 v 96 in 2024), indicating growing use of early restructuring tools.
Reports from financial risk and business advisory firms highlight several macroeconomic pressures behind these trends, including weak domestic demand, rising operating costs, and new fiscal measures introduced in August 2025. Combined with geopolitical uncertainty and slower growth, these factors are expected to keep pressuring company balance sheets and drive a continued rise in insolvencies in 2026, making effective risk management and financial governance increasingly critical for corporate resilience.
In this context, Romanian courts and practitioners are engaging with a growing caseload of restructuring cases, while advisers focus more on preventive reorganisation, creditor negotiations, and insolvency litigation to help companies manage financial distress.
Investments – the Romanian FDI Screening Regime
Throughout 2025, Romania continued refining its foreign direct investment (FDI) screening framework under Government Emergency Ordinance No 46/2022 and subsequent amendments, maintaining a cautious approach to investments affecting national security or public order. Law No 231/2024 extended the sanctions regime to EU investors, clarified that investments without prior clearance may be declared null and void, and ensured EU and non-EU investors are subject to the same rules.
In July 2025, the Romanian Competition Council issued detailed guidelines clarifying investment valuation, the EUR2 million notification threshold, and the definition of “control”, while providing practical instructions on filings, documentation, and timing. Draft measures circulated later in 2025 propose streamlining the screening process and shortening review timelines at the commission level.
Overall, Romania’s FDI regime continues evolving toward a more predictable and structured framework, balancing national security concerns with the goal of maintaining the country’s attractiveness for foreign investment.
Romania’s National Recovery and Resilience Plan (NRRP)
Romania’s National Recovery and Resilience Plan (NRRP), approved in November 2021, provides around EUR28.5 billion in EU funding for reforms and investments across 17 sectors, including infrastructure, digitalisation, energy transition, and public administration.
During 2024–2025, authorities adjusted implementation timelines and reprioritised certain projects to address delays and ensure efficient use of EU funds. The government announced that certain publicly financed projects would be prioritised or accelerated, while others – particularly those where procurement procedures had not yet been finalised – might be postponed, restructured, or transferred to other EU funding programmes.
All milestones must be completed by August 2026, making NRRP-funded projects a major driver of public procurement and investment, particularly in infrastructure, digital transformation, and renewable energy.
Recent Economic Developments
Romania’s economy in 2025 continued to grow at a moderate pace, supported primarily by public investment and EU-funded projects, particularly those financed through the NRRP and cohesion policy programmes. Infrastructure and construction remained key drivers of economic activity, with ongoing investments in transport, energy, and urban development supporting employment and related sectors.
A major development was Romania’s full accession to the Schengen Area in 2025, including the removal of land border controls. This step has facilitated cross-border trade and logistics operations, strengthening Romania’s role as a regional transport corridor connecting Central Europe, the Balkans, and the Black Sea region.
At the same time, the government has focused on fiscal consolidation measures aimed at reducing the budget deficit and improving revenue collection, while maintaining investment levels necessary for economic convergence with the European Union. Efficient absorption of EU funds remains a central element of Romania’s strategy for sustaining growth and supporting long-term competitiveness.
Bucharest Arbitration Days 2025
Bucharest Arbitration Days, Romania’s leading conference on international arbitration, held its sixth edition in 2025 under the theme “Reassessing Access to Justice and Due Process in International Arbitration”. Keynote speakers included Professor Stefan Kröll and Professor Yas Banifatemi, and the event further confirmed Bucharest’s growing role as an emerging arbitration hub in Europe.
What the Future Holds
Romania’s legal landscape will continue to evolve under economic pressures, EU-driven reforms, and technological advancements, requiring businesses and legal advisers to adapt to increased use of arbitration, preventive restructuring tools, and streamlined public procurement procedures, while navigating cross-border investment and regulatory challenges.