When talking about Romania, many people still associate the country with its communist past and its significant economic struggle, which lasted for 24 years under the rule of Nicolae Ceausescu. There are different perspectives regarding decades ago and current poverty in Romania. The communist regime fell in 1989, and Romania has changed considerably since. According to the World Bank Group, poverty reduction in Romania reached 6.9% in 2024. 

Minimum Wage in Romania and Most Affected Regions

As an European country since 2007, Romania is doing better than it did decades ago. Yet, the minimum wage of 795 euros per month may lead some to question the extent of its economic growth. This positions Romania at 43rd place among the 124 countries that have the lowest minimum wage, out of the 195 countries in the world.

Rural regions in Romania are the most affected, with rates three times higher than those in urban areas, where children never attend school, or they are forced to drop out of school at an early age so they can work various jobs in agriculture or construction, helping their family to stay afloat. People living in these poor rural regions endure hunger, malnutrition, limited access to health care and often live in homes without running water, sanitation or electricity. 

Projects Designed To Reduce Poverty in Romania

Given all of the above, there is hope on the horizon with promising news ahead. After decades of economic struggles, new developments and projects may signal a meaningful shift towards inclusion and opportunity, contributing to poverty reduction in Romania.

As a global development organization, The World Bank Group seeks to lower poverty levels below 3% of the global population by 2030 and Romania is one of the countries that benefits from its generosity. Elisabetta Capannelli, World Bank Country Manager for Romania, declares that the organization goal is “to reduce poverty and boost shared prosperity for the bottom 40 percent of the population.” The World Bank has contributed in Romania over the past two decades addressing policy and institutional constraints on poverty reduction. By promoting social inclusion and economic growth, this approach offers promise that vulnerable communities, especially in rural areas, will see real improvements.

In February 2016, the Government passed a comprehensive anti-poverty package of 47 measures to combat poverty in the country through 2020. Several key measures, including boosting employment and reducing early school leaving rates, are expected to play a crucial role in narrowing the urban-rural poverty gap.

Empowering Citizens

Another hopeful project comes from Real News for Romania’s Media Desert Regions, where “the funding helped the media to reach Romania’s three poorest regions (Moldova Southern Muntenia and Oltenia) to inform and raise awareness about corruption, misuse of public and EU funds.” This project demonstrates that addressing poverty is not just about money or jobs, but also involves informing and empowering citizens to hold authorities accountable. By reaching Romania’s three poorest regions, the project is helping people understand how public and EU funds are being used. The project used social media, guided by experts, to reach more people and set up a weekly newsletter. After doing so, those involved in the project now hope that audiences are more informed, more aware of their rights, and more engaged in improving public services for their communities.

Looking Ahead

Looking ahead, these initiatives and others yet to come, could bring lasting change by helping more families rise above poverty and improve their quality of life, ultimately contributing to poverty reduction in Romania.

Future generations of rural children may have access to education instead of working from a young age, and while challenges remain, both existing and new projects offer hope for poverty reduction.

– Elena Ghimis

Elena is based in Bournemouth, UK and focuses on Good News and Celebs for The Borgen Project.

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