During the period 15 June-26 July, the Ministry of Finance is to carry
out a new session for the registration of applications for financing
agreements, based on Governmental Decree 807/2014 for the establishment
of state aid schemes aimed at boosting investments with a major impact
in economy. RON 700 million will be allocated for this session to
finance over EUR 1 million investments. 92 sectors of activity will
benefit from financing, such as: manufacturing, constructions, HORECA,
information and communications, healthcare and social assistance.
Mustafa Tiftikcioglu, the CEO of Garanti BBVA Romania, spoke, in an
interview, about the economic impact of the conflict in Ukraine on
Romania. He said, among other things, that the outbreak of the conflict
in Ukraine was generating changes in the Romanian economy and banking
system, but it was too early to say for sure how things would evolve.
In his opinion, the overall situation has inevitably changed following
Russia’s invasion of Ukraine.
The latest economic reports in Europe show only 0.2% economic growth in
the euro area in Q1/2022 compared to the previous quarter, while
inflation reached a new record high, of 7.5%, according to a press
release. This evolution undermines the value of the single European
currency and adds to the already difficult situation of the European
Central Bank. According to the cited source, euro area economic growth
in the first quarter of the year was lower than expected, as the
economic weakness shown by France and Italy cancelled out the advance
given by some resilience in Germany and Spain, as the conflict in
Ukraine significantly impacts European economies.
The National Bank of Romania (NBR)’s foreign exchange reserves grew by
EUR 358 million in April compared to March, to EUR 40.5 billion,
following EUR 3.56 billion inflows and EUR 3.2 billion outflows. The
EUR 3.56 billion foreign exchange inflows represented changes in credit
institutions’ foreign currency-denominated required reserves with the
NBR, inflows into the Ministry of Finance’s accounts, inflows into the
European Commission’s account and other, according to data published by
NBR on Monday.
During the period 2-20 May, entrepreneurs at the beginning of their
journey can apply for the Startup Studio by Factory program, launched
by Raiffeisen Bank, within which business ideas are discussed with
mentors and specialists in order to have the best chances to obtain
financing. At the end of the program, the entrepreneurs with the best
business ideas can get an up to €50,000 loan. 144 entrepreneurs and
over 50 mentors participated in the first edition of the program.
Credit Europe Bank Romania ended 2021 with a RON 70 million net profit,
compared to the RON 17 million losses incurred in 2020. The advance
mainly came from the increase in credit card turnover, but also from
the decrease in operating expenses. The bank’s assets reached RON 4.3
billion, up from RON 4.1 billion in 2020, while the loans portfolio
stayed at RON 2 billion, the bank announced on Monday. Attracted
deposits grew slightly, to RON 2.5 billion, up from RON 2.4 billion in
2020.
CEC Bank has been a primary dealer on the government securities market
since yesterday, which allows the bank to participate directly in
public auctions and subscriptions of government securities, alongside
the other seven financial institutions that have this status. Apart
from CEC Bank, the other banks that currently have a primary dealer
status are BCR, BRD, Banca Transilvania, Citibank Europe, ING Bank,
Raiffeisen Bank and UniCredit Bank.
British clothing retailer Primark, one of the biggest companies
activating in the sector, which sells its products at affordable
prices, is expanding in Romania, and will open a store in AFI Cotroceni
shopping center. Primark announced its arrival onto the Romanian market
at the beginning of this year. The announcement indicated, at the time,
that Primark was preparing the biggest expansion of its stores network
since 2006, mostly in Europe and the United States, its low price
policy attracting customers without the support of online offers.
Romanian optical retailer Lensa recorded, after 9 years of activity, an
over EUR 40 million (over RON 200 million) cumulative turnover for the
period May 2013 - April 2022. The company targets EUR 19 million sales
and aims to inaugurate at least eight new stores in 2022. The company
has indicated that investments in the expansion of Lensa stores chain
have increased year on year.
Medicover, one of the biggest private healthcare service providers in
Romania, has announced the signing of the contract for the acquisition
of Laurus Medical, a niche healthcare services network which performs
minimally invasive treatments in proctology and in venous system
disorders and which has established itself as one of the most active
and well-known private healthcare operators in this field for 17 years.
The investment in Laurus Medical is substantial and represents an
important strategic step for Medicover’s development in Romania.
ROCA Industry, ROCA Investments’ holding company in the building
materials sector, has signed the contract for the full (100%) takeover
of Dial, a company with more than 20 years of experience in the
manufacturing of wire products such as fence panels. This transaction,
which is in the process of being authorized by the Competition Council,
ensures the succession of the Romanian manufacturer, which ended 2021
with a turnover of about EUR 12 million. The company, which specializes
in edged fence panels, braided fence mesh, Rabitz wire mesh,
rectangular posts and more, plans to make approximately RON 40 million
total investments.
Repeated disruption of parliamentary order through the use of any form
of direct physical or verbal aggression towards any person present at
parliamentary activities constitutes a disciplinary offence and shall
be sanctioned by withholding up to 50% of the senator’s gross monthly
salary for a period of up to 6 months, according to the amendments
brought to the Senate’s Regulation, voted on during the plenary
session. There were 72 votes in favor of the amendments, 12 votes
against them and 21 abstentions.
Police officers will be able to take persons to the police station for
verifications, where they can be detained for up to 12 hours for this
purpose, according to a draft law promulgated by President Iohannis.
The police’s obligation to allow the person to leave the station is
only established after the 12 hours have expired, even if the person’s
identity has not been established. The draft law had been initiated by
Cîțu government and was adopted by Parliament a month ago, through the
final vote in the Chamber of Deputies.
The European Commission’s proposal to regulate the bloc’s carbon
removals market will be based on existing verification and
certification schemes and will aim to create a common method in order
to bring more transparency to the opaque sector, an EU official has
said. The carbon removals market, which refers to the capturing,
recycling and storing of CO2 by farmers, foresters and industries,
plays a key role in achieving the land sector’s goal of reaching carbon
neutrality by 2035. However, inconsistencies in measurement, reporting
and verification (MRV) processes offered by various private bodies have
resulted in low prices on the voluntary market, providing little
incentives for investors.
74% of young people in Romania are optimistic about the future of the
European Union and show greater openness and support for European
policies than other age categories. Moreover, 74% of the youth in
Romania are satisfied with their current life and 61% of them believe
that things are heading in the right direction in their personal life,
according to a Eurobarometer survey. Furthermore, 64% of Romanian young
people are happy with their lives (age group 15-24) and 70% are
satisfied with their jobs.
The highest level of happiness among young people in Romania is
recorded in Iaşi, while the lowest value is in Constanţa. Moreover, on
a scale from 1 to 10, the average level of happiness of young people in
Romania is 6.69, according to a study published on the occasion of the
International Youth Day by the Romanian Youth Council, PONT Group, Cluj
Youth Federation and Banca Comercială Română, as members of the
Governance of the "Youth Capital of Romania" Program. According to the
research entitled "Happy City - Youth after Pandemic", on average,
young respondents rate the level of happiness in their cities at
5.99/10. Moreover, the degree of safety felt is above the average
(6.63/10), and the cities received a score of 6.25/10 for proactivity.