The majority of big enterprises are active in processing industry, constructions, transport and services.In 2003 the South-East Region produced a GDP of 5.47 billion Euro. The region contributes 11.3 % to the national GDP. It must be noted that foreign investment in the region is not uniformly allocated among the counties. In addition the number of companies established in each county demonstrates significant differences.

Thus, the county of Constanta quasi-monopolised foreign capital invested in the region (68 % of total in the region), and is situated on the third place among counties at national level in terms of number of companies with foreign capital. The majority of foreign investment in the region is concentrated in the shipbuilding industry and the food industry. Agriculture is very important for the regional economy: 40.4% of employed people work in this sector. The cultivated land represents 65% of the Region's surface.

In 2003 the agricultural production in the region accounted to 1.6 Billion Euro, the amount derived from an agricultural surface equal to 14 % of the national total. In 2003 the gross added value in industry (including the constructions sector) was 1.94 bill. Euro, representing 40 % of the regional gross added value. The tourism product in the region is diversified and includes almost all types of tourism, namely sea, mountains, cruises, cultural, business, ecology, balneal and agro-tourism.

Tourism in the region is characterised by the existence of some specific natural resources such as Black Sea Coast and Danube Delta. There are curative centres well known in the country (Lacu Sarat, Techirghiol, S?rata Monteoru, Balta Alba, Soveja). Agro-tourism is also developing. The cultural tourism is represented by the North Dobrogea, Buzau and Vrancea monasteries, as well as by the cultural heritage (among them - archaeological sites, memorial houses etc).

In 2004, almost 42.7% of the tourist accommodation capacity was concentrated on the Black Sea coast and 0.8% in the Danube Delta. In 2004 the number of active accommodation units increased by 41%, while the number of employees increased by 16%. The regional accommodation units represented in 2003 15.2% of their total number at national level (ranked 1st). The Danube Delta is an area with unique characteristics in the country with an important scientific value and a huge potential for tourism development.

Each county is characterised by its own special labour characteristics, the common trend being the decrease of the number of employed people. Transition phenomena, namely privatisations, and augmenting market economy mechanisms have modified the human resources of the region. The tendency of decrease is higher in industry due to the liquidation and restructuring of big enterprises, while in agriculture and trade an increase of the employed population can be seen. The highest portion of the employed population in 2003 is held by the age group of 35-49 years (37 %), followed by the age group of 25-34 years (27.5 %).

These data underline the fact that there is little interest of the companies in R&D and innovation activities - both their own and those performed in partnership with R&D institutions and there is low absorption capacity for research results. Technological transfer and innovation infrastructure, respectively specialised institutions in spreading, transfer into the economy of the R&D results is not developed. There is positive trend with this regard since 2003, thanks to the HG nr.406/2003 regarding founding, evaluation and accreditation of innovation infrastructure units, of innovative business incubators etc.

The creation of scientific parks is also stimulated. Their purpose is to develop partnerships among R&D units, universities and companies. The legal framework is ensured by the OG nr. 14/2002 regarding the founding and functioning of two scientific and technological parks in the South-East region: in Galati and Constanta (Navodari).

A national program INFRATECH (Innovation and Technological Transfer Infrastructure Development) was launched. Its purpose is to create and develop specialised institution in the field of innovation and technological transfer, asa well as technological and scientific parks.

With regard to the labour market it is worth noting that the SME's sector is the most flexible sector of the regional economy, quasi-monopolising the “temporary” working force. At regional level, in 2003 as compared to the previous year it can be noticed an increase in the number of SMEs, employees and turnover, with a decrease of the SMEs number in the industry and construction. Regional SMEs activating in the services sector, together with trade sector, had a weight of 84.6 % in 2001, the situation being similar on national level. The number of SMEs in this sector registered a decrease in 2001 at national and regional level, while the number of SMEs in constructions and industry registered an increase.

The SMEs turnover registered an increase in 2003 as compared to previous year in all sectors at regional and national level. In terms of gross investment, one can notice a slight decrease at regional level in 2003 as compared to previous year.

The practicing of high interest rates credit policy in the last years as well as the unfavourable social and economic conditions has lead to a reduced access of SMEs to various forms and sources of financing. The companies are confronted, in general, with the difficulties of market economy with problems particularly resulting from insufficient management and marketing abilities, reduced access to information and insufficient co-operation between companies. Under the process of economic reorganisation, an increase of unemployment is expected in the next years.

• to design a regional innovation policy appropriate for enhancing the post-transition processes and for preparing the accession to the European Union;
• to embed the regional innovation policy in a comprehensive regional development policy;
• to progressively acquire to the region an international visibility via innovation in the environmental sphere and through site marketing actions.

The ARISE project is considered as a unique opportunity to contribute to the raise of awareness on a common regional identity by strengthening the awareness on innovation related issues at regional level. From this results a new operational attitude of the key stakeholders of the business and governance dimension of the regional innovation system. For the creation of ARISE project distinctive image the Management Unit had its logo and www.adrse-arise.ro website designed. ARISE project will be useful and have an impact on:

• Improving the understanding of the regional innovation system: by providing a broader conception of innovation beyond the concept of technological innovation in the region; understanding if the prerequisites and interactions between the business and governance dimension in the South-East Region really constitute a regional innovation system; improving the analytical skills in the region by using the international experts as source from which to learn how to embed knowledge on innovation and analytical techniques within ADRSE (cf. trainings on analytical methods and tools).

• Added value of international views and comparison of analysis by benchmarking the results with: the partner region Tuscany, which has experienced the entire path of European innovation policy from RITTS to RIS+ and finally to Innovative Actions; other European regions which previously implemented RITTS/ RIS/ RIS-NAC and the members of the IRE - network.

• increasing the efficiency of the regional innovation support: improving the organisation of the regional support organisations by developing actions to better define and augment the visibility of the innovation support infrastructure; promoting the networking between the different key stakeholders of the supply side; creating an inclusive dialogue to sustain the improvement of the support as a system beyond ARISE by putting a focus on a participatory nature of the RIS-formulation process via consensus-building activities and awareness raising activities; introducing new actions which really respond to the regional SMEs' needs and the SWOT-results; added value of international comparison for support by learning about intermediary structures from the partner region Tuscany and also from other EU-regions (mainly via the international consultants' experience, participating in networking events of the IRE-networks, setting up contact to other European regions within the project).

• enhancing institutional capacity building of regional institutions of the governance and business dimension and their interaction: increased involvement of public authorities at municipal and county level in regional innovation policy of the South-East region; change in strategic policy making culture by contributing to a better integration of the innovation concept into the wider economic policy and by introducing a more strategic approach to innovation policy making at regional level; improved consensus building strategy by introduction of a more inclusive and improved bottom-up dialogue among key actors.

• at national level an exchange of experience of innovation policy: learning effects between Romanian regions; better coordination between national and regional policies and actors (via active lobbying and marketing of the project, by ensuring that the development of the regional innovation system becomes part of the regional mainstream policies).