A functional review by the World Bank ofRomania's research, development and innovation(RD&I) sector has been commissioned by the Government ofRomania and the European Commission as part of a broaderassessment of the public administration contribution to thecountry's growth and continued convergence with the EU.The objective of the Review is to propose actions over theshort to medium term to tangibly strengthen effectivenessand efficiency in the RD&I sector. This report is basedon extensive literature research and data analysis, as wellas three missions to Bucharest in January, March, and April2011, during which the World Bank team met withrepresentatives from a variety of public, private, andacademic institutions and conducted a workshop with majorstakeholders to review report findings. This final report --prepared in collaboration with the World Bank HigherEducation Review team and the EC's DG Research andInnovation -- presents observations and recommendations forconsideration by the Government. The Review suggests thatRomania's RD&I sector is in a silent crisis, withseriously negative implications for the country'slonger term competitiveness and growth prospects.