REGIONAL DEVELOPMENT AND INNOVATION IN ROMANIA. CHALLENGES AND PERSPECTIVES

Regional innovation is considered one of the most important drivers of development at present. Innovation is the tool that can help regions develop regardless of their natural resources and potential. The main purpose of the paper is to foster the innovation at regional level in Romania in order to determine and highlight the need of further measures to increase regional innovation and regional development of Romanian regions in the current context of getting out of the economic crises. Romania is subject of discrepancies not only at European level but at national level as well in terms of economic development and regional innovation. The research undertaken in the present paper is a qualitative research and followes the model proposed by the Group of Applied Economics in the study called Manual of regional competitiveness assessment, and in the study called Romania's reindustrialization: policy and strategy, study commissioned by the Ministry of Economy, Trade and Business, and uses regional indicators of the eight Romanian development regions in order to measure the Competitiveness Index based on three Indexes, namely Economic, Social and Innovation Index. The data used was collected from Romania's National Institute of Statistic, National Centre of Prognosis and from the Eurostat database. The general objective is to enhance the great role of regional level in innovation and to sensitize the policy makers about the need to introduce a regional level in order to enforce regional innovation, the main way of improving regional competitiveness and regional development. The main findings reveal that the Romanian regions that invested more in innovation have a positive evolution in terms of economic growth over time so it is for the best of a region to invest in innovation, an aspect that should be taken into consideration by policy makers and private sector when planning the investments within a region.