Romania’s Victory in International Arbitration Case over Casa Radio Project
Romania has achieved a significant victory in an international arbitration held at the International Centre for Settlement of Investment Disputes in Washington, D.C., regarding the Casa Radio project in Bucharest. The statement published by Finance Minister Alexandru Nazare highlighted that Romania emerged victorious in an international arbitration case with stakes exceeding 300 million euros.
This outcome marks a crucial correction of past errors and underscores the prioritization of the state’s and its citizens’ interests. The total amount at stake exceeded 300 million euros, with potential damages surpassing 200 million euros, in addition to interest and arbitration costs.
Minister Nazare emphasized the pivotal role played by the Ministry of Finance throughout this process, particularly in coordinating financial aspects and advocating for the impact on the state budget. He also noted that the same investor is embroiled in another international dispute, where Romania seeks to recover damages amounting to hundreds of millions of euros.
Against the backdrop of financial prudence, Nazare underscored the critical importance of such victories for Romania’s economic resources. By robustly defending the country’s position, the state can effectively safeguard its financial interests.
The Washington arbitration tribunal’s ruling on Monday dismissed the claims lodged by the Israeli developer Plaza Centers N.V. against Romania in the dispute concerning the ‘Casa Radio’ real estate project in Bucharest. According to ICSID documents scrutinized by Mediafax, the ruling came three days after the closure of arbitration proceedings. In April 2024, the Israeli company updated the sought damages to 425.5 million euros.
