Conclusions and recommendations of the Court of Auditors regarding the efficiency of the application of legislation related to foreign direct investments

This paper explores the findings and recommendations of the European Court of Auditors regarding the effectiveness of the EU framework for screening foreign direct investments (FDIs). Anchored in Regulation (EU) 2019/452, the analysis highlights the increasing relevance of FDIs to national and European security while evolving geopolitical and economic challenges. The study underscores the role of competition authorities and inter-institutional cooperation in reducing risks to security and public order posed by FDIs. It evaluates the performance audit methodology, emphasizing the principles of economy, efficiency, and effectiveness, and discusses the framework's implementation in Romania, including the establishment of a dedicated Commission for the Screening of Foreign Direct Investments. The paper concludes with strategic recommendations to strengthen the regulatory framework and foster secure and sustainable investment practices across the European.