News

Daily Newsletter - 13 October 2020

Summary

Macroeconomic News (4)

Inflation falls to three-year low

Finance Minister Florin Citu stated that the inflation rate had fallen to a three-year low, based on the data released by the National Statistics Institute (INS). "So we have the lowest inflation rate since October, 2017, despite all the alarmist messages released by the PSD, such as exploding prices and shortages of goods," said the Minister.

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Groupama: Drought caused more than 80% of damage this year

Insurer Groupama Asigurari issued a press release stating that it has paid out RON 37 million in damages to farmers so far this year, mainly because of damage caused by drought, storms and hail. The company estimates it would pay out a total of RON 100 million in damages this year. Maize and sunflower are the worst affected crops.

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Logistics and industrial space market to exceed 5 million square meters

Romania's modern industrial and logistics space reached 4.72 million square meters at the end of the first half of this "pandemic year", up 5% year-on-year, according to a report from Colliers International. The market is expected to pass 5 million square meters at the end of this year and there's still room for future growth.

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Trade balance deficit up EUR 642 million

Romania's trade balance deficit increased by EUR 642 million in the first eight months of this year, compared to the corresponding period of 2019, according to the National Statistics Institute (INS). FOB exports amounted to EUR 38.7 billion, down 15.3% year-on-year, while CIF imports dropped 11.2% to EUR 50.2 billion.

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Financial News (3)

BCR issues entrepreneur guide

BCR is a partner of the EUR 1 billion grant program for small and medium-sized enterprises. The bank launched a grant guide for all SMEs affected by the pandemic, containing all the information needed by prospective applicants. "Since the beginning of the pandemic, we made it our mission to help entrepreneurs survive this period and save as many jobs as possible," said CEO Sergiu Manea.

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First Bank begins partnership with Uber

First Bank, formerly known as Piraeus Bank, has started a partnership with Uber, which gives First Bank clients the possibility of traveling using Uber's premium service. Vice-President Madalina Teodorescu said the purpose of the partnership is to launch a loyalty program for First Bank's premium clients.

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Loan payment suspension could be extended until 2021

Extending until 2021 the period during which debtors can suspend the payment of loan installments will depend on the type of loans and the degree to which they are provisioned by the banks. If the number of loans is too big, provisioning will create cost issues. Dispensing with the provisioning depends on the European Banking Authority's position.

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Legislative News (1)

Civil union bill filed with Senate

Deputy Ovidiu Raetchi (PNL) filed with the Senate a civil union bill, called a "life partnership". The Parliament has received several bills on this issue, but none of them has been taken up so far because some parties, including PNL, oppose them. The Constitutional Court had recommended the regulation of this issue two years ago.

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Politics (1)

Orban to lead PNL ticket

Prime Minister Ludovic Orban will lead the National Liberal Party's (PNL) ticket for the Chamber of Deputies in Bucharest. The liberals will file their lists of signatures from supporters on October 20, followed by the list of candidates on October 21.

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Social (2)

80% of companies say remote working is new normal

The adoption of remote working is the new norm in the labor market for 80% of the companies taking part in a global PwC survey, according to which 45% of companies will not require employees to return to office, while 21% expect to use a combination of remote work and office work.

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Romania's population keeps shrinking

23,169 Romanian died in August, up 752 compared to the previous month and 3,270 compared to the corresponding month of 2019. Almost two thirds of the deceased individuals were above the age of 70, according to the National Statistics Institute (INS).

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