Vladimir Lj. CVETKOVIĆ
Institut za noviju istoriju Srbije, Beograd
cvetkovicv@yahoo.com

Economic Relations between Yugoslavia and Romania, 1945–1948

Abstract: This paper analyzes Yugoslav-Romanian economic relations between 1945 and 1948, marked by post-war restoration and radical social and economic changes in both countries. It is focused on the political and economic consequences of the Second World War, trade agreements and exchange, and other forms of economic cooperation which were abruptly suspended due to the conflict between Cominform and Yugoslavia in mid-1948.

Key words: Yugoslavia, Romania, Yugoslav-Romanian Relations, Economic Relations, Trade Exchange, Cominform

Summary

Economic relations between Yugoslavia and Romania were restored already during World War II, shortly after the coup in Romania in August of 1944, when the regime in Bucharest switched sides. However, the economic cooperation was limited due to unresolved war and post-war conditions, inflation, and unregulated foreign trade institutions. Illegal trade, fraud, and smuggling were rampant. In order to overcome these problems, and regulate mutual trade and payments, Yugoslavia and Romania began negotiations on a trade agreement as early as May 1945. Despite the fact that the two countries still had no diplomatic relations at that time, the trade agreement between them was signed on December 15 1945. It foresaw mostly the exchange of raw materials, i.e., the Romanian oil and its derivatives for Yugoslav non-ferrous and other metal ores. However, the agreement was executed only partially, for several reasons. On the Romanian side, trade was run by private companies that the state was unable to influence. Fluctuations in the exchange rate of the Swiss franc created payment problems. There were also issues with transport and corruption.

Other forms of economic cooperation, like the agreement on processing Yugoslav raw materials in the Romanian steel plant in Reşiţa, proved more successful. Although the new trade agreement signed on April 15 1948 was supposed to improve the economic relations between the two neighboring countries, the outbreak of the conflict between the Cominform and Yugoslavia led to their termination.