News

Daily Newsletter - 17 July 2020

Summary

Macroeconomic News (4)

Deficit could climb to 8.4% this year

The budget deficit could climb to 8.4% of the GDP this year, while the economy will contract by 4.4% of the GDP, according to CFA Romania analysts. The Cabinet's deficit forecast is 6.7% of GDP, with a contraction rate of 2-3%, which is the most optimistic forecast on the market.

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Macroeconomic confidence indicator down 1.9 points in June

The Macroeconomic Confidence Indicator published by CFA Romania dropped by 1.9 points in June, compared to the previous month. The annualized trend was a 16.8-point fall, mainly because of the forecast component.

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EU funds are one of the few development drives left for Romania

The Ministry of European Funds announced on Thursday that, in less than a month, it distributed 75.5% of the hygiene products packages and 34.6% of food packages from local producers, through the Helping the Disadvantaged Operational Program (POAPD). European funds are one of the few drives for Romania's development, at a time when the healthcare system is under enormous pressure and the economy is under severe strain.

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Grant program for rural enterprises

The Cabinet discussed on Thursday a program to encourage rural entrepreneurship. The total budget allocated to the program will be EUR 200 million, with the funding being provided for the establishing of companies focusing on the processing, distribution and packaging of agricultural products in rural areas. The grants will range between EUR 40,000 and 100,000, depending on the number of new jobs created.

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Financial News (3)

BCR launched a module featuring practical advice for entrepreneurs

BCR has launched "Useful Financing Advice", a new module featuring practical advice for entrepreneurs in the context of the SME Invest program. The module is available free of charge on the Business School platform and it features tips on how SMEs and micro-enterprises can optimize their working capital and identify investment opportunities.

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ING Bank Romania has launched a campaign promoting a new brand direction

ING Bank Romania has launched a campaign promoting a new brand direction - "do your thing", part of the bank's Think Forward strategy. "We all want to do what inspires us, and especially in the context of the COVID-19 pandemic, we want to rediscover the little things that bring us joy. As a bank, it is our responsibility and privilege to help customers make more room for these things by eliminating their worries about money and banking," said Silvia Mihailescu, Marketing, Communication and CSR Director with ING Bank Romania.

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BNR bought 4.4 billion worth of state bonds

The National Bank of Romania (BNR) has continued to provide liquidity to lenders through repo operations, while also buying RON-denominated state bonds on the secondary market. BNR's total acquisitions reached RON 4.4 billion on July 15.

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Investment News (2)

10 Romanian railroad projects

The European Commission announced on Thursday it would invest almost EUR 118 million in 10 railroad infrastructure projects in Romania. These projects will contribute to the construction of the missing transport links in the continent's infrastructure.

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Constanta "Delfinariu" to be expanded, modernized

The "Delfinariu" hosted by the Museum of Natural Sciences in Constanta will be expanded and modernized under a project worth more than EUR 5 million, according to the official statement from the County Council and the consortium that won the tender.

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Legislative News (1)

Official Monitor to publish laws in PDF format

The Official Monitor Company (RAMO) may soon have to publish the official gazette of the country in PDF format, open to reading, searching, saving, distribution and printing by any user. At this time, the Official Monitor is available as read-only PDF files.

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Politics (2)

President goes to Brussels for recovery fund meeting

President Iohannis left for Brussels on Thursday evening to attend the European Council meeting of July 17-18, where the leaders of the European Union will try to reach a consensus regarding the next Multi-annual Financial Framework and its most controversial component: the Economic Recovery Fund.

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President signs local election bill

President Iohannis signed on Thursday the bill setting September 27 as the day of local elections. The bill was passed by the Parliament at the beginning of the month.

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Social (2)

777 new cases in 24 hours

777 new cases of COVID-19 were confirmed in the last 24 hours, out of 19,097 processed tests. The total number of cases detected since the beginning of the pandemic has thus reached 35,003, with 1,971 ending in death.

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Orban puts end to hope

Prime Minister Ludovic Orban announced on Thursday that the state does not have the financial resources to double the child rearing aid. However, the Cabinet will be looking for a solution to increase aid this year.

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