News

Daily Newsletter - 1 June 2021

Summary

Macroeconomic (3)
Financial (3)
Investment (2)
Legislative (1)
European News (1)
Social (2)
Macroeconomic 
The number of unemployed decreased to 474,000 people in April
The number of unemployed decreased to 474,000 people in April, and the unemployment rate in men was 0.6% higher than the one among women, according to data published by the National Institute of Statistics (INS) yesterday. Unemployment rate in April 2021 fell by 0.1%, to 5.7%, compared to the one recorded in the previous month (5.8%).
The number of dissolved companies grew by 8%
The number of dissolved companies grew by 8.82% in the first four months of 2021, compared to the same period of the previous year, to 9,109, while 8,371 dissolutions had been recorded in January-April 2020, according to data centralized by the National Trade Register Office (ONRC). Most dissolutions were registered in Bucharest, namely 1,708 companies (up by 12.15%) followed by the counties of Iaşi (445, +68.56%), Timiş (427, -5.53%), Constanţa (406, -14.35%) and Cluj (400, +4.17%).
Romania has submitted the National Recovery and Resilience Plan
Romania submitted yesterday, at 15:30, the National Recovery and Resilience Plan (PNRR), which includes projects covering the entire allocated amount, of EUR 29.2 billion, divided into EUR 14.248 billion grants and EUR 14.935 billion loans. However, access to the approximately EUR 15 billion loan component depends on remaining on the deficit adjustment path assumed before the European Commission.
Financial 
The banking system’s restructuring continued in 2021
The banking system’s restructuring continued, the process having been accelerated amid the COVID-19 pandemic. As a result, the banks operating on the Romanian market reached 52,130 employees and the number of branches decreased to 3,789 at the end of Q1 of 2021. A number of 1,039 employees left the Romanian banking system and 181 branches and banking agencies were closed between Q1/2020 and Q1/2021, according to data made available by the National Bank of Romania.
The share of life insurance has decreased
Life insurance, one of the segments of the insurance market with growth potential, reached a RON 2.22 billion volume of gross underwritten premiums at the end of 2020, down by 1.6% compared to 2019, according to the Financial Supervisory Authority (ASF)’s report. The share of this segment thus fell below 20% of the total volume of underwritten premiums at the end of 2020.
Eurohold reported a EUR 6.24 million operating profit for Q1 of 2021
Eurohold, the largest public holding in Bulgaria and owner of Euroins, has reported a EUR 6.24 million operating profit for Q1 of 2021, up by 2%. On Friday, the holding launched a capital increase procedure, which will allow the company to obtain up to EUR 100 million.
Investment 
Niro Investment Group to opens two new hotels
Niro Investment Group, one of the biggest business groups in Romania activating in real estate investments, asset development and management and Business Hotels Investment, a company part of Niro group, will complete works on two premium hotels in Bucharest. The two units in question are Corinthia Grand Hotel Boulevard and Swissotel, which will be finalized in 2022 and 2023, respectively.
Samsara Foodhouse has inaugurated its first restaurant in Bucharest
Vegetarian restaurants operator Samsara Foodhouse, from Cluj, has inaugurated its first restaurant in Bucharest, called Samsara Floreasca. The restaurant is located in the ONE Floresca City mixed project and the lease transaction was mediated by CBRE. Samsara Floreasca restaurant, located on the ground floor of the ONE Tower office building, which will also house CBRE Romania’s headquarters, has an area of about 500 meters, interior plus a terrace.
Legislative 
Ministry of Labor wants to have an over EUR 27 million IT system
The Ministry of Labor has put up for public debate a draft Government Decision for the implementation of the project called "MMPS services hub" - an integrated computer system that would allow online interaction with citizens through various electronic services. The draft was put up for public consultation on 27 May and observations can be submitted until 5 June 2021.
European News 
Council adopts EUR330 billion cohesion package for 2021-2027
The Council gave its final green light to the adoption of the cohesion package for the financial period 2021-2027. The package is a set of regulations governing the structural and investment funds, which amount to more than EUR330 billion (in 2018 prices) or nearly one third of the EU’s long-term budget.
Social 
Children over the age of 12 can be registered on the vaccination platform
Children over the age of 12 can be registered on the vaccination platform starting from 1 June, using their parents or guardians’ accounts, the National Committee for the Coordination of Anti-Covid-19 Vaccination Activities (CNCAV) has announced. Administration to this new age group eligible for anti-Covid immunization with BioNtech/Pfizer (the vaccine approved by the European Medicines Agency for age group 12-15 so far) will actually start on 2 June.
There were 3.895 million children aged under 18 residing in Romania on 1 January 2021
The number of children aged 0-18 residing in Romania stood at 3.895 million on 1 January 2021, down by 37,900 compared to the similar period of last year, according to data published by the National Institute of Statistics (INS) yesterday, on the occasion of the International Children’s Day. The share of boys in the under-18 population segment has been higher (51.4%) than that of girls of the same age in the past few years; the ratio having been of 1,057 boys per 1,000 girls.