News

Daily Newsletter - 9 August 2019

Summary

Macroeconomic News (2)

BNR kept inflation forecast at 4.2%

The National Bank of Romania (BNR) kept this year's inflation forecast at 4.2%, while increasing the forecast for 2020 from 3.3% to 3.4%. The base inflation has increased, the economy is roaring ahead and prices are pushed up by excess demand, according to statements made by Governor Mugur Isarescu at a press conference on Wednesday.

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Economic growth is solid, budget revenues overestimated

The Fiscal Council released on Thursday an opinion regarding the state budget revision project and the biannual report on the state of the economy and the budget. According to the document, the economy is doing well, but the 5.5% growth target on which the budget is based is exaggerated, and the actual growth rate will probably be 4%. The Council has been headed by Daniel Daianu since July.

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Financial News (3)

BCR won't pay financial asset tax

BCR will not pay the financial asset tax for the first half of this year because it reached 50% of one of the annual targets. The bank reported an 8% growth rate for the loans granted to households and non-finance institutions.

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Patria Bank signs new guarantee agreement

Patria Bank has signed a new RON 100 million contract for providing guarantees for loans granted under EaSI, the employment and social innovation program launched by the European Union, according to a press release. The value of financing made available to entrepreneurs through the EaSI program in the three and a half years since the bank joined it stands at around EUR 42.3 million (RON 200 million).

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Raiffeisen Bank's earnings down in H1, 2019

Raiffeisen Bank posted RON 384 million in earnings for the first half of this year, down from RON 423 million in the corresponding period of 2018. The bank's total assets jumped 5% to RON 40 billion, according to a press release. The borrowing business keeps growing, with the value of net loans jumping 11% in one year to RON 26.22 billion.

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Investment News (2)

Two new cooperation and innovation projects

On Thursday, the European Commission launched two new projects to provide expertise to Romanian regions and cities, in cooperation with the Romanian government and the World Bank, with a total budget of EUR 2.5 million. Under the first project, experts from the European Commission and the World Bank will help county seats to develop closer links with their outskirts and to use EU funding for projects that will benefit the entire urban area.

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PM announces tourism investments

Prime Minister Viorica Dancila announced Thursday that hundreds of millions would be invested in several tourist areas, including several ski slopes and a tourist port on the Danube. The authorities have already signed a RON 104 million financing contract for a new ski slope in Borsa, Maramures county.

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Legislative News (1)

PM vows harsh punishment for criminals, rapists, pedophiles

Prime Minister Viorica Dancila announced on Thursday that she would issue a decree imposing life sentences for rape and pedophilia charges.

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Politics (1)

PNL launched presidential campaign

The 3,500 members gathered for the National Council of the National Liberal Party (PNL) at Romexpo, on Thursday, launched the reelection campaign of Klaus Iohannis. The president was invited to deliver a speech, which he used to assure party members that, if successful, he would build a new parliamentary majority.

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Social (1)

Cabinet adds RON 135 million to Rabla budget

Prime Minister Viorica Dancila announced on Thursday, at the beginning of the Cabinet meeting, that the Rabla program will receive an extra 20,000 vouchers worth RON 6,500 each. The total budget increase for this program is RON 135,000,000.

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