Daily Newsletter - 25 November 2021


Macroeconomic (3)
Financial (3)
Investment (4)
Legislative (1)
European News (1)
Social (2)
The budget adjustment will be approved on Friday, 26 November
Finance Minister-designate Adrian Câciu stated before the Committee on Budget, Finance and Banks that the budget adjustment would be approved on Friday, 26 November. Adrian Câciu received a positive report. He added that healthcare, salaries in the healthcare system and pensions would be the priorities of the future budget adjustment and that the sums would come from the redistribution of funds, so there would be no problems.
Household and corporate savings grew by 13.4% in October 2021 year-on-year
Residents’ deposits grew by 1.3% in October compared to the previous month, to RON 458 billion, and by 13.4% (5.1% in real terms) compared to October 2020, according to NBR data. RON-denominated deposits, representing 64% of total deposits made by non-governmental clients, increased by 1% compared to September, to RON 294 billion, and were up 12.6% (4.3% in real terms) against October 2020. On the segment of savings in RON, household deposits were 1.9% higher in October than the previous month, with a total of RON 161 billion, and recorded a 10.3% (2.2% in real terms) year-on-year advance.
European economic recovery is marked by record inflationary pressures
Euro area business activity growth accelerated in November having slipped to a six-month low in October. The recovery of European economy was nevertheless marked by record inflationary pressures and concerns over the re-intensification of the pandemic at the end of year, according to the PMI (Purchasing Managers’ Index) survey for November. According to the provisional flash PMI data, the euro area economy continued to grow in November, with significant increases in both the manufacturing and services components. The upturn was accompanied by a further marked increase in inflationary pressures during the month, as firms’ costs and average selling prices charged for goods and services both rose at record rates.
Allianz-Ţiriac has received the approvals for the acquisition of the majority stake in Gothaer Asigurări
Allianz-Ţiriac, an insurance company part of the German group Allianz, has received both the Competition Council and the Financial Supervisory Authority (ASF)’s approvals for the acquisition of the majority stake in Gothaer Asigurări, according to information provided by the company’s representatives. Allianz-Ţiriac estimates that the integration will be finalized by the end of 2022, after the merger’s approval and Gothaer Asigurări Reasigurări’s integration into Allianz-Ţiriac’s structure are progressively completed. Until the merger is finalized, the two insurers will operate as two independent entities, according to the rules corresponding to such an acquisition.
Libra Internet Bank offers financing solutions for rapid implementation of Electric Up projects
Libra Internet Bank has come up with a new green initiative, having launched the loan aimed at supporting SMEs and HORECA operators that have grants approved within the Electric Up 2021 program, according to the information transmitted by the bank. Companies that have concluded non-reimbursable financing contracts under Electric Up can thus obtain bridge loans of up to EUR 100,000 from Libra Internet Bank, in order to rapidly cover the non-reimbursable expenses necessary for implementing the approved projects, before their actual settlement within the governmental program.
Vista Bank has launched Vista Green Home loan
Vista Bank has launched, in partnership with Romania Green Building Council, the Vista Green Home housing loan, a product meant to support clients who choose to purchase or build green residences, according to a press release. The new product offers financing at preferential costs (interests and fees) for retail clients who buy, modernize, expand or build dwellings certified or pre-certified as Green Homes by RoGBC. Moreover, clients who cash their monthly incomes into a Vista Bank account can benefit from an interest discount, thus accessing the most advantageous housing loan offer in the bank’s portfolio.
Unilever will expand its food products factory in Ploieşti
The Anglo-Dutch group Unilever, one of the biggest players on the global consumer goods market, is expanding its food products factory in Ploieşti, and will develop its product portfolio. The company’s officials did not provide details on what the project is about, what new products will be made here or what the investment budget amounts to, but the data obtained by ZF indicate that it is a large investment. Knorr and Delikat are currently produced in the food factory in Ploieşti, opened about 15 years ago.
A Norwegian company plans to invest EUR 800 million in Romania
A Norwegian company plans to invest EUR 800 million in Romania in the production of a fuel that can replace coal, according to the proposed Minister of Energy, Virgil Popescu. He has also indicated that this company wants to invest in ten production units in Romania.
Enel will invest EUR 170 billion by 2030
Italian group Enel, the biggest European utility company, announced on Wednesday its intention to bring forward the deadline for reaching the zero emissions commitment by ten years, to 2040 instead of 2050, by mobilizing EUR 210 billion total investments between 2021 and 2030, according to a press release. Of the EUR 210 billion total investments, EUR 170 billion will be allocated by the Enel Group directly (up by 6% compared to the previous plan) and EUR 40 billion will come from partners.
Discounter Penny keeps expanding is network in Romania
Discounter Penny, part of the German group Rewe, continues its expansion plans by opening six new stores in November. As a result, Penny network will reach a total of 294 stores. Seven more openings are planned for December, so the retailer will end the year with 301 stores. Penny is one of the most active retailers in Romania, having opened the first store on the local market in 2005. The entire network is served by three logistics centers located in Ștefăneștii de Jos, Turda and Bacău.
Government wants to impose licensing criteria on the gas and electricity market
The government is considering regulating, through primary legislation, the financial criteria for electricity and natural gas suppliers’ licensing, in order to impose minimum solvency conditions, according to the Minister of Energy, Virgil Popescu. This decision was made considering that several gas suppliers have given up their licenses lately, having abandoned tens of thousands of clients, as they were no longer able to keep up with price increases on wholesale markets, but also due to uncertainties in the legislation regarding bills’ compensation and price capping this winter.
European News 
ECDC recommends applying sanitary measures immediately to prevent the spreading of Covid-19
The European Center for Disease Prevention and Control (ECDC) recommended on Wednesday, 24 November, applying sanitary measures immediately and pursuing efforts in vaccinating EU citizens to avoid a "very high COVID-19 burden". Europe is facing a new wave of COVID as cases keep rising rapidly. In the second week of November, almost two million people got infected by the virus.
Schools and kindergartens can switch to classes with physical attendance by their own decision
Education Minister Sorin Cîmpeanu has announced that schools and kindergartens can switch to classes with physical attendance by their own decision, starting from the next day after the Covid-19 incidence rate drops below 3 per one thousand in the locality, through a decision of the Board of Directors and by notifying the School Inspectorate. He has pointed out that, starting from Wednesday, 24 November, the Ministry of Education will publish the incidence rate for each locality on its website on a daily basis.
369,600 doses of Johnson & Johnson vaccine have arrived in Romania
The National Committee for the Coordination of Anti-Covid-19 Vaccination Activities (CNCAV) has announced that a total of 369,600 doses of Johnson & Johnson vaccine arrived at "Unifarm" SA National Company on Wednesday, 24 November. According to a press release, transport is ensured by the manufacturing company, and the vaccine doses were brought to Bucharest by land. The doses are stored at "Unifarm" SA National Company and will be distributed to the existing regional centers at national level in the following period.