Romania’s Iași ranked among the fastest-growing large cities in Europe

Iași is the third fastest-growing first-tier city in Europe over the past 15 years, tied with Wrocław in Poland, with the IT and real estate sectors driving growth, according to an analysis by research company Oxford Economics, as quoted by Ziarul Financiar. The ranking is led by Dublin and Valletta.

Iași’s GDP grew on average by about 5.5% per year between 2010 and 2025. In the more recent period between 2020 and 2025 – marked by the pandemic, war on the border, record inflation, and a complicated economic and political context – growth slowed, dropping below 5%, Oxford Economics said.

Almost half of the city’s growth in the last 15 years is attributable to the IT and communications sector.

“The fact that it is an important university centre has played a role in its evolution. The city has attracted investors who came both for the expertise of the people here and for the lower labour costs. The local economy has also benefited from the real estate market, with the residential market growing steadily in recent years,” the study noted.

The analysis shows that in the top 20 fastest-growing cities in Europe, most positions are occupied by cities from Central and Eastern Europe.

Romania appears twice in the ranking, with Iași in third place (tied with Wrocław) and Bucharest in 10th. Poland dominates the list, with 10 cities in the top 20.

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