The total volume of foreign investments may reach 10 billion euro in 2006, double compared to the 5.2 billion reported in 2005, taking into consideration the influence of the new flat tax, the privatization of the Romanian Commercial Bank (BCR) and increased confidence among investors as the country prepares to join the EU, Romanian PM Calin Popescu Tariceanu said on Thursday.

The Romanian Agency for Foreign Investments - ARIS had already said the value of foreign investments may exceed 10 billion euro this year.

“I am sure 2006 bill be a record year in terms of investments”, Tariceanu said in a seminar organized by the Ziarul Financiar newspaper.

He believes the introduction of a flat tax last year has encouraged foreign investments and will continue to lure foreign capital especially when it comes to foreing small and medium enterprises.