News

Daily Newsletter - 15 January 2021

Summary

Macroeconomic News (4)

New manufacturing orders down

The manufacturing industry reported, for January 1 - November 30, 2020, an overall 5.5% drop in new orders, compared to the corresponding period of 2019, the result of contractions in the consumer goods industry (-11.7 %), capital goods industry (-5.8) and in the intermediate goods industry (-5.7%). The durable goods industry grew 20.3%, according to the National Statistics Institute (INS).

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Consumer price growth fell 50% in 2020

Consumer prices increased 2.06% in 2020, according to data published by the INS, almost 50% less compared to the figure recorded at the end of 2019 (4.04%). The monthly inflation rate rose to +0.34% in December, the highest value in nine months, with fuel and tobacco prices accounting for nearly two-thirds of the total. The HICP annual inflation rate, calculated according to the European methodology, increased marginally to 1.8%.

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e-Commerce logged new record growth

The number and value of orders placed in stores operating on the MerchantPro eCommerce platform increased by 83% and 99%, respectively, in December, 2020, compared to the corresponding month of 2019. The largest order recorded in December was worth over EUR 40,000. The average order stayed at RON 225 for the entire year 2020.

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Projects worth RON 23 billion signed last year

1,816 financing contracts were signed through the Human Capital Operational Program 2014-2020 by the end of last year. The number of projects reached 1,793, amounting to a total of RON 22.9 billion, according to information centralized by the Ministry of European Investment and Projects (MIPE). Of the total sum, the European Union contributed RON 19.3 billion.

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Financial News (2)

Foreign deposits down 65.5%

Long-term deposits set up by foreign entities in local banks, mainly credit lines granted by shareholders, continued to fall last year. At the end of November, these deposits stood at only EUR 144 million, down 65.5% compared to December, 2019. In 2020, BNR slashed the minimum mandatory reserves twice.

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TBI Bank teams up with Netopia Payments

TBI Bank and Netopia Payments, the most used online payment processor in Romania, have inked a partnership designed to help merchants accelerate their businesses, according to a company press release. With the help of TBI Bank's top digital SME financing solutions, small and medium-sized businesses can easily and quickly finance their development plans.

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Investment News (1)

RON 40 million investment in Salaj county water network

Compania de Apa Somes, the water company operating under the authority of the Cluj County Council, has launched a RON 40 million project to expand the drinking water network to 11 rural locations in the Salaj County. The company will lay 58 kilometers of new distribution pipes and build 2 pumping stations.

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Legislative News (1)

Vulnerable energy consumer bill gets first reading

The Cabinet discussed at Wednesday's meeting the long-awaited bill setting up social protection measures for vulnerable energy consumers. According to the draft inherited from the previous cabinet, vulnerable consumers are individuals or families that, for reasons of age or insufficient incomes, should benefit from social protection measures.

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Politics (2)

Ciolacu: Citu wants to give away the strongest and most profitable state-owned companies

"The massive pandemic robbery was not enough for them! After the huge EUR 30 billion loans taken out last year, Citu is now plotting the biggest robbery in the modern history of the country. He wants to sell - for nothing! the strongest and most profitable state-owned companies. The most valuable things still held by the Romanian state, companies with profits worth billions. They tried to do that last year as well. It didn't work! We will oppose them with all our power," wrote PSD leader Ciolacu on his Facebook page.

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Oana Bulai: PSD will present a shadow budget

Deputy Oana Bulai (PSD) announced that the Social Democrats will present a shadow budget in the Parliament in order to expose the lies of the Citu Cabinet.

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Social (1)

Schools to reopen for second semester

Most schools will resume normal classes beginning with the second semester, provided that the pandemic situation remains stable, according to the official statement made by President Klaus Iohannis on Thursday evening. The authorities will return to the decentralized system, where schools operate according to the local situation in each town.

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