News

Daily Newsletter - 17 January 2019

Summary

Macroeconomic News (3)

Central Region reports EUR 7.3 billion in exports

The Central Region reported exports totaling EUR 7.29 billion for the first eight months of 2018, up 7.4% from the corresponding period of 2017, according to a report released by the Alba Regional Statistics Directorate (DRS) yesterday. Brasov county was responsible for 32.6% of the total exports during the period January-August 2018.

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Food industry report

The labor crisis, the lack of competitiveness and the changing market context are just some of the reasons invoked by foreign investors when they decided to pull the plug on factories. "Many times, production moves abroad, not in other factories in Romania".

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State budget to be approved in February

The state budget for 2019 will be approved in February, and salaries, pensions, allowances and child allowances will be paid on time, Minister of Labor and Social Justice Marius Budai said on Wednesday evening.

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Financial News (3)

Deloitte says local banks sold NPLs worth EUR 1 billion

Deloitte Romania estimates that local banks sold NPL portfolios with a nominal value of EUR 1 billion last year, significantly below the EUR 2.1 billion reported for 2017. Radu Dumitrescu, Transaction Support Partner, Deloitte Romania, said that the significant decrease in the volume of NPL transactions in 2018 is the result of reducing the volume of non-performing loans and legislative changes.

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Banks finance less than 50% of domestic public debt

Banks hold less than half of the domestic public debt of RON 226.6 billion (EUR 48.7 billion), while pension funds and nonresidents hold almost one fifth each, according to the Ministry of Finance. Local banks remain the main holder of government securities on the local market, but their share of the total dropped over the past year.

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BT criticized Cabinet's new tax

Banca Transilvania, the largest bank in Romania after the Bancpost merger, said the new tax on assets amounts to a nationalization of profits. Since the official announcement made by Finance Minister Teodorovici, BT has lost a third of its stock market capitalization. The bank's representatives warned that their acquisition plan could be canceled because of the new tax.

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Legislative News (1)

President Iohannis demands "urgent solutions"

President Klaus Iohannis asked the Cabinet to come up with solutions for the compensatory appeal situation so that Romanians stop fearing for their safety. The president's statement came at a time of general concern caused by a series of violent acts committed by the criminals who benefited from the compensatory appeal law.

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Politics (1)

PSD: Lazar, Carmen and Iohannis are above the law

The Social Democratic Party (PSD) accused Attorney General Augustin Lazar of allowing the wife of President Klaus Iohannis to avoid showing up for court hearings and, in return, the president refuses to approve Lazar's dismissal.

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Social (2)

Subsidies for companies that hire unemployed individuals

Employers who hire people from disadvantaged categories or who find it harder to access the labor market will receive a subsidy of RON 2,250 per month over a period of 12 months, announced the National Employment Agency (ANOFM).

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1 in 5 Romanians work in the wrong field

One in five Romanians thinks he or she is working in the wrong field and wants a career change. Two in five are unhappy with their professional situation and are considering job changes this year, according to a survey by BestJobs.

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