Daily Newsletter - 26 October 2021


Macroeconomic (2)
Financial (3)
Investment (3)
Legislative (1)
European News (1)
Social (2)
Bucharest, Cluj-Napoca and Brașov are the most expensive cities in Romania
Bucharest, Cluj-Napoca and Brașov are the most expensive cities in Romania. At the other end of the classification, there are Miercurea Ciuc, Alexandria and Bistrița, according to a study that took into account prices of basic food products, house rents and the level of salaries in August. This top as a whole is directed by the economic activity in the region, which can be seen in the purchasing power and, at the same time, in the zonal availability of goods. In the case of tomatoes, for instance, the lowest prices were in Slobozia, Brăila and Buzău, areas where these vegetables are grown, with RON 3 per kilogram. Moreover, milk was the cheapest in Piatra Neamț, Târgu Jiu and Reșița. The difference also comes from the products’ availability and from the shorter supply chains.
Romania could recover over 60% of the GDP loss generated by the pandemic
Potential projects in the wind (terrestrial and marine), solar and hydro power sectors at global level could help reduce emissions considerably and could create 10 million jobs and generate economic growth worth about USD 1.9 trillion dollars, according to an EY study conducted in 47 countries, including Romania. The survey also shows that Romania could recover over 60% of the GDP loss generated by the pandemic and could create about 1,000 jobs per 1 million inhabitants, through renewable energy investment projects.
BCR supplements the ceiling available within SME Invest by RON 400 million
BCR announced on Monday that it had supplemented the ceiling available within the SME Invest program by RON 400 million. 1,400 companies have attracted financing through SME Invest from BCR, worth about RON 1.2 billion, this year. The top of sectors to have received financing is led by trade (24%), constructions and building materials (15%), transport (14%), production (10%), consumer products and services (7%).
Private lending grew by 13.4% in September
Private lending grew by 13.4% in September compared to the first nine months of 2020, the total balance having reached RON 314.5 billion, following an 18.5% increase in RON-denominated loans and a 2.3% advance of foreign currency-denominated loans, expressed in RON, according to data transmitted by NBR on Monday. Private lending growth rate was 12.8% in August, 12.6% in July, and 11.2% in June year-on-year. In real terms, the balance of loans was up 6.7% in September year-on-year, amid an 11.4% advance of the RON-denominated component and a 0.7% increase in the foreign currency-denominated component, if the indicator is expressed in euro.
Deposits of non-government resident clients grew by 0.6% in September 2021
Deposits of non-government resident clients grew by 0.6% in September 2021 compared to the previous month, to RON 452.453 billion, and by 13.9% (7.2% in real terms) compared to September 2020, according to the data published by the National Bank of Romania yesterday. Residents’ deposits in RON, representing 64.4% of total deposits of non-government clients, decreased by 0.1% compared to August 2021, to RON 291.278 billion, and increased by 13.8% (7.1% in real terms) year-on-year. Households’ RON-denominated deposits fell by 0.1% month-on-month, to RON 158.187 billion, and were up 11.4% (4.8% in real terms) against September 2020.
Softronic from Craiova has contracted EUR 4.5 million financing
Softronic from Craiova, the only plant manufacturing electric trains and locomotives in Eastern Europe, controlled by four Romanian entrepreneurs, has contracted EUR 4.5 million financing from Garanti BBVA Romania for the construction of two electric locomotives. According to Garanti BBVA Romania’s Deputy CEO, Cagri Memişoglu, the recently granted financing is the third one in the history of the Garanti BBVA - Softronic banking relationship, after two other loans had been granted in 2014 and 2018, for green projects as well.
Barleta factory in Bacău will invest EUR 4 million to increase its production capacity
Barleta factory in Bacău, which manufactures paper bags and sacks for large supermarket chains, fast food chains or bakery producers, will invest EUR 4 million in order to increase its production capacity by adding three more production lines. Moreover, the company plans to double its storage capacity to 7,000 square meters. The Barleta factory also estimates a 7% higher turnover in 2021, to EUR 20 million.
DPD Romania has invested over EUR 2 million in infrastructure
Courier company DPD Romania announced on Monday that it had invested over EUR 2 million in infrastructure, in order to keep up with the huge volume of parcels, given that the new restrictions imposed due to the fourth pandemic wave will lead to record Black Friday deliveries. This year, Black Friday will be held in Romania on 12 November, and courier companies’ representatives say that e-commerce will explode.
The Senate tacitly passed a draft law
The personnel in educational units risk being fined if they claim sums or other patrimonial benefits from students, directly or indirectly, according to a draft law initiated by USR and AUR parliamentarians, and tacitly adopted by the Senate on Monday. Failure to comply with these provisions shall be sanctioned with a fine between RON 1,000 and RON 2,000, and the contravention shall be acknowledged and the fines shall be applied by the police officers or agents from the Home Affairs Ministry, with competences in the field, upon receiving complaints from students, parents or teachers, auxiliary teachers or non-teaching staff, the draft normative act also stipulates.
European News 
In February 2021, the EC published its proposal to revise "EU Roaming Regulation”
In February 2021, the European Commission published its proposal to revise the so-called “EU Roaming Regulation”. The proposal’s main goal is to prolong the Roam-Like-at-Home regime – which ended retail roaming surcharges within the European Economic Area – beyond its expiry date of June 2022. The European Parliament adopted its position in a plenary session last week. This means that the two co-legislators are now ready to enter into inter-institutional negotiations to agree on a common final text.
Ministry of Health signed a contract for 10,000 doses of monoclonal antibodies
The Ministry of Health announced, on Monday, 25 October, the signing of a contract for 10,000 doses of monoclonal antibodies that will arrive in Romania in the first week of November. The medicines will be distributed to healthcare units immediately, in order to be administered to COVID-19 patients in the first days after the onset of symptoms, the Ministry of Health indicated.
National Council of Students calls on Government to adopt new health safety regulation
Considering that the Ministry of Education has decided to suspend classes for two weeks in an attempt to limit infection cases in schools, the National Council of Students considers that the situation is unacceptable as the Romanian Government continues to be incoherent in statements and measures, and lacks any clear and assumed vision. As a result, the Council’s representatives have called for the urgent amendment of the government decision, in order to regulate a wider area of measures that would limit the spread of COVID-19.