Private consumption, expressed in terms of retail sales volume, grew by
almost 6% in January 2023 year-on-year, a strong acceleration compared
to December 2022, when it had increased by 3.6%, according to data from
the National Institute of Statistics (INS). Private consumption is the
most important economic branch, accounting for about 60% of Romania’s
GDP. The data look better than financial analysts’ expectations. At the
end of 2022 and beginning of 2023, economists, including the analysts
from the National Bank of Romania (NBR), said that the advance of
consumption would slow down sharply in 2023, which would also put a
serious brake on economy.
Net investments in national economy amounted to RON 150 billion in
2022, up by 8.5% year-on-year, according to data published by the
National Institute of Statistics (INS) on Friday, 10 February. The
biggest advance, of 8.2%, was reported in new construction works,
followed by purchases of machinery (including means of transport) and
other expenditure, up by 7.8% each. By type of activity, constructions
had the biggest share of investments, of 39% (up from 33% in 2021),
followed by trade and services, with 21.4% (down from 24%).
A total of 3,374 companies were dissolved in January 2023, 41.17% more
than in January 2022, according to data centralized by the National
Trade Registry Office (ONRC). The most dissolutions were recorded in
Bucharest, 681 companies (up 64.1%), and in the counties of Timiș (174,
+53.98%), Constanța (167, +19.29%), Cluj (144, +38.46%) and Ilfov (138,
+33.98%). The fewest company dissolutions were recorded in the counties
of Ialomita (12, +20%%), Mehedinți (14, -6.67%) and Covasna (17,
-10.53%). The field of activity that recorded the most company
dissolutions in January 2023 was wholesale and retail trade, repair of
motor vehicles and motorcycles, with 948 dissolutions reported at
Revolut, the British fintech that has reached more than 2.5 million
clients in Romania, has recorded 500,000 applications for loans so far.
The lending option has been available since August 2022, and most of
the clients who have applied for funding come from Romania’s big cities
and have incomes well above the average wage in economy, according to
Gabriela Simion, Revolut branch head and head of lending for Romania
and Italy. However, Revolut has not provided an exact figure on the
number of loans actually granted and their value, and according to the
fintech’s representatives, this is the policy on all markets where
Revolut grants loans.
OTP Bank Romania recorded a full-year 2022 profit after tax of RON 34.6
million, down by 40% compared to 2021, according to the report
published in Budapest, in which the bank’s results are presented on a
consolidated basis, adjusted in accordance with the group’s standards.
The profit indicator improved considerably in Q4/2022, based on
increased operating profitability and reduced risk costs, according to
the bank. The operating profit recorded in 2022 was RON 217 million
lei, up by 76% year-on-year, following the positive effect of the 23%
increase in total revenues.
Following public statements regarding Euroins’s solvency problems,
Еurohold Bulgaria AD, owner of Euroins Insurance Group AD (EIG),
announced, in a press release, that it had recently consolidated the
financial position of Euroins Romania, the EIG unit, which now has an
SCR (Solvency Capital Requirement) ratio of 160% and a MCR (Minimum
Capital Requirement) ratio of 300%. In 2022, Euroins Romania paid more
than RON 1.6 billion claims for 160,000 accidents to have occurred in
Romania and abroad.
Braşov City Hall plans to build a campus dedicated to dual education on
a 28,896 square meter plot of land owned by the municipality. The value
of the investment amounts to about RON 144 million (EUR 29 million). As
a first step towards the implementation of this project, Brasov
municipality applied for RON 104.1 million (EUR 21.1 million) financing
through the National Recovery and Resilience Plan (PNRR), Pillar 4:
Policies for the new generation, Component C15.
Galati City Hall will have more money for development and investments.
This announcement has been made by Mayor Ionuț Pucheanu, who aims to
carry out more than one hundred investment projects for education,
healthcare and infrastructure in 2023. To this end, Galați City Hall
will have a consolidated budget of RON 1.17 billion this year, 10%
higher than last year.
The General Mayor of Bucharest has announced that he has signed the
contract for the drawing up of a master plan for the development of a
network of bicycle lanes in Bucharest that will allow investments in
alternative urban transport with European money. According to the
Mayor, this strategic document will be the basis for projects to ensure
the development of an extensive network of bicycle lanes, and will
identify and prioritize optimal routes on both main and secondary
streets, taking into account the needs of current or potential users,
traffic, areas of interest, as well as the urban development of certain
areas in the city.
The National Liberal Party (PNL), the Social Democratic Party (PSD) and
the Democratic Union of Hungarians in Romania (UDMR) have submitted to
the Senate a draft law on the provision of holiday vouchers, according
to which private sector employees would also receive such vouchers
starting from 1 January 2024. The draft law amends Government Emergency
Ordinance 8/2009 on the granting of holiday vouchers. According to the
legislative proposal, during the fiscal year, employees can benefit
from holiday vouchers, holiday bonuses and holiday tickets granted
according to Law 263/2010 on the unitary public pensions system, as
The Chamber of Deputies’ Health Committee is to debate the use of
cannabis for medicinal purposes on Monday, 13 March, when specialists
from various sectors will present their points of view. The normative
act is called the Victoria Law, and Alexandra Cârstea is the initiator.
Victoria is the name of her mother, who died of cancer several years
ago and who, due to complications, could no longer use conventional
medication and would have needed this type of medical cannabis
treatment. Alexandra says Romanian politicians have delayed for four
years the approval of this law, which already exists in about 50 other
countries, including Germany, Great Britain and Greece.
The platform through which the EUR 46 billion from 2021-2027 Cohesion
Policy will be attracted will be available starting from 16 May, the
Ministry of Investments and European Projects (MIPE) announced in a
press release. The MySMIS2021 IT system covers all stages of a
project’s life cycle - call definition, project development and project
presentation (application for funding), evaluation, contracting,
procurement, implementation and monitoring, through dedicated modules.
The institutional framework for the development and operation of the
single management information system for non-reimbursable external
funds corresponding to the 2021-2027 programming period was adopted by
the Government through Government Emergency Ordinance 172.
European Union countries agreed on Thursday (9 March) to promote a
"global phase-out of unabated fossil fuels" ahead of the United
Nation’s COP28 climate summit this year, attempting to boost a global
deal that failed at last year’s summit. Ministers from the 27 EU member
states approved a text on their diplomatic priorities ahead of the
COP28 summit, which begins on 30 November in Dubai, where nearly 200
countries will attempt to strengthen efforts to rein in climate change.
Europe is in the midst of transforming its energy system to meet
climate targets and end decades of reliance on Russian fossil fuels.
Romania will benefit from a new donation from the World Health
Organization consisting of 106 defibrillators, 228 personal protection
equipment kits and 220 stretchers for patient transport. Prime Minister
Nicolae Ciucă convened the National Committee for Emergency Situations
(CNSU) in a hybrid format on Friday, 10 March. During the meeting, the
CNSU Resolution was approved, allowing the inclusion into the national
emergency stocks, through the Department for Emergency Situations (DSU)
and the General Inspectorate for Emergency Situations (IGSU), of the
equipment necessary for the provision of emergency medical assistance
and qualified first aid made available to Romania by the World Health
Education Minister Ligia Deca has signed the order regarding the
structure of the 2023-2024 school year, and the spring break will
include the Easter period. The next school year will start on 11
September 2023 and classes will end on 21 June 2024. The national
programs "A Different Kind of School" and "Green Week" will be carried
out during the period 11 September 2023 - 26 April 2024. The programs
will take place at different intervals.
Cătălina Trupșor, founder and CEO of Color Smart Distribution, has
stated that the business sector in Romania continues to be dominated by
men and there is gender inequality in entrepreneurship, but significant
progress can be noticed, as women are increasingly present either as
entrepreneurs or in management positions, according to an analysis
which founders of IT, HR, interior design and marketing companies
participated in. By contrast, Roxana Epure, owner of NextUp Solutions,
one of Romania’s largest software solutions companies, has pointed out
that business has no gender and that the only way for Romanian
entrepreneurs, whether women or men, is to become highly professional,
regardless of gender, base their business on sound principles and
develop a performance culture.