Nazare, after Romania won the arbitration case regarding “Casa Radio”: An important outcome

“Romania has achieved an important favorable outcome 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,” reads the statement published Tuesday by Finance Minister Alexandru Nazare.

“Romania has won an international arbitration case with stakes exceeding 300 million euros. This is a significant correction of past errors, which puts the interests of the state and its citizens first,” Nazare added.

He specified that the amount at stake exceeded 300 million euros, with the possibility of damages exceeding 200 million euros, to which interest and arbitration costs would have been added.

Nazare also highlighted the role of the Ministry of Finance in this process, noting that the institution coordinated the financial aspects and supported the arguments regarding the impact on the state budget.

Furthermore, the minister pointed out that the same investor is involved in another international dispute, in which the Romanian state is seeking to recover damages amounting to hundreds of millions of euros.

“At a time when every leu counts, such outcomes represent critical resources for Romania. When we properly defend our position, we can effectively protect the state’s financial interests,” Nazare added.

The Washington arbitration tribunal ruled on Monday to dismiss the claims filed by the Israeli developer Plaza Centers N.V. against Romania in the dispute related to the “Casa Radio” real estate project in Bucharest.

According to ICSID documents reviewed by Mediafax, the ruling was issued three days after the arbitration proceedings were declared closed. In April 2024, the Israeli company updated the amount of damages sought to 425.5 million euros.