Romania's Business Ecosystem on a Knife's Edge: February 2026 Churn Report
Exits outnumber new registrations for the second consecutive month, but a sharp recovery from January’s steep deficit offers a cautious signal of stabilisation
Romania’s business register recorded a near-perfect — and decidedly uncomfortable — equilibrium in February 2026: for every 100 companies born, roughly 101 exited the market. The result was a net loss of 119 businesses , a figure that, taken in isolation, looks worrying. Viewed against January’s haemorrhage of –2,686 net businesses , however, February tells a markedly different — and more nuanced — story.
The Headline Numbers
Romania logged 13,139 new registrations in February, up 8.6% year-on-year from the 12,099 recorded in February 2025 . Meanwhile, total business exits — combining suspensions, dissolutions, and deregistrations — reached 13,258 , producing a churn rate of 100.91% : exits marginally exceeding new entries.
That churn rate is notably more benign than January 2026’s 124.25% , when exits outpaced registrations by more than 2,600 companies. February’s near-parity also closely mirrors February 2025’s churn rate of 99.95% , suggesting that the second month of the year carries a structurally elevated exit rate — likely driven by end-of-year administrative closures that spill into the new year — rather than a sudden deterioration in underlying business conditions.
The 12-month moving average of registrations stands at 13,077 , and February’s actual figure of 13,139 is fractionally above it, indicating that new formation activity remains broadly in line with its recent trend.
Breaking Down the Exits: Dissolutions Surge
Not all exits are created equal. February 2026’s exit mix reveals a significant internal shift:
| Exit Type | Feb 2026 | Feb 2025 | Change |
|---|---|---|---|
| Suspensions | 1,807 | 1,601 | +12.9% |
| Dissolutions | 5,663 | 4,331 | +30.8% |
| Deregistrations | 5,788 | 6,161 | –6.1% |
The 30.8% year-on-year jump in dissolutions is the most striking figure in this month’s lifecycle data . Dissolutions represent formal, legally initiated winding-up procedures — a more deliberate form of exit than a deregistration, which can often be administrative in nature. A near-third increase in dissolutions year-on-year points to a greater number of business owners making active decisions to close operations, rather than simply allowing inactive registrations to be purged from the register.
Deregistrations, by contrast, fell 6.1% year-on-year , partially offsetting the dissolution rise. Suspensions — temporary halts to operations — climbed 12.9% , which may indicate businesses pausing rather than permanently closing amid uncertain conditions.
Entity Type Divergence: The PFA Surge and SRL Retreat
One of the most structurally significant trends in February 2026 is the sharp divergence between entity types in new registrations:
- SRL (limited liability companies): 7,032 registrations , down 15.3% year-on-year from 8,301 in February 2025
- PFA (sole traders / self-employed authorised persons): 5,495 registrations , up a remarkable 67.1% year-on-year from 3,289
- II (individual enterprises): 563 registrations , up 25.1% year-on-year
The 67% surge in PFA registrations is extraordinary and warrants attention. PFAs are the simplest, lowest-cost legal form for self-employment in Romania, often used by freelancers, transport operators, and tradespeople. Their rapid growth alongside a significant decline in SRL formations suggests a possible shift in entrepreneurial risk appetite: prospective business founders are opting for lighter-weight, easier-to-dissolve structures rather than committing to the more capital-intensive SRL form. This pattern can reflect either an increase in genuine solo entrepreneurship — particularly in transport and services — or a response to economic uncertainty, where individuals hedge by choosing a structure that is easier to wind down.
Which Sectors Are Driving New Formation?
Transport and storage leads all sectors with 2,396 new registrations , a 33.8% increase year-on-year . This is consistent with the PFA surge: the vast majority of transport registrations in Romania are sole-trader freight and courier operators. Manufacturing (Industria prelucrătoare) posted the strongest growth rate among established sectors, up 46.8% year-on-year to 800 new registrations , suggesting renewed activity in productive enterprise rather than purely service-based activity.
Financial intermediation and insurance grew 36.2% year-on-year , while arts, entertainment, and recreation rose 34.4% .
In contrast, wholesale and retail trade — historically Romania’s largest registration category — fell 19.3% year-on-year to 1,811 registrations , a decline that continues a broader squeeze on the retail sector. Real estate dropped 12.3% year-on-year , and healthcare and social assistance slipped 5.6% .
Regional Snapshot: Ilfov and Timișoara Lead; Bihor and Argeș Under Pressure
Among the ten counties with the highest absolute exit volumes, the picture is geographically uneven:
Healthiest ecosystems (registrations outpacing exits):
- Ilfov — churn rate of just 69.4% , with 795 registrations against 552 exits . The county surrounding Bucharest continues to attract new business formation at a healthy pace.
- Timișoara (Timiș county) — churn rate of 79.8% , with 648 registrations vs. 517 exits.
- Constanța — churn rate of 84.8% , with 500 registrations versus 424 exits.
- București — Romania’s capital dominates in absolute numbers (2,730 new registrations vs. 2,420 exits), with a churn rate of 88.6% .
Counties where exits exceed registrations:
- Bihor — churn rate of 127.2% , the highest among the top-ten counties, with 471 new registrations against 599 exits. High suspension activity (110 suspensions) relative to registrations is notable here.
- Argeș — churn rate of 114.6% .
- Cluj — churn rate of 111.9% , somewhat surprising given Cluj’s reputation as a technology hub, though the absolute numbers remain relatively balanced (640 registrations vs. 716 exits).
- Dolj and Brașov also recorded churn rates marginally above 100%.
Is the Business Ecosystem Healthy?
The health ratio for February 2026 stands at 0.99 — essentially a dead heat between formation and exit. The directional trend, however, is positive: the health ratio has improved by 0.24 points compared to the previous measurement period, and net growth has trended up by approximately 2,803 units relative to January’s deep negative.
The picture that emerges is of an ecosystem that is not in crisis, but is not expanding either. Romania’s business register has effectively reached a replacement-level equilibrium: the companies closing are being matched almost precisely by those opening. February’s specific context matters here — the month consistently sees elevated exit activity as end-of-year administrative processes conclude, and this year’s February 2025 churn rate of 99.95% confirms the pattern is not new.
The more significant concern lies in the structural shifts underneath the surface: the replacement of incorporated SRL companies with sole-trader PFAs, the 30.8% surge in formal dissolutions, and the sustained pressure on retail and real estate sectors all point to an economy undergoing meaningful restructuring. Whether that restructuring will ultimately tilt toward growth — as manufacturing and transport formation rates suggest it might — or toward contraction in more established commercial activity, will depend heavily on the trajectory over the coming months of 2026.
Data sourced from Romania’s Official Business Register (ONRC). Figures cover all registered legal entities including SRL, PFA, II, SA, and other forms. Business exits include suspensions, dissolutions, and deregistrations.