News

Daily Newsletter - 7 October 2021

Summary

Macroeconomic (2)
Financial (2)
Investment (3)
Legislative (2)
European News (1)
Social (2)
Macroeconomic 
Retail trade turnover grew in the first eight months of 2021
Retail trade turnover (except for trade in motor vehicles and motorcycles) grew in the first eight months of 2021 year-on-year, by 12.4% as a gross series and by 11.2% as a working days and seasonally adjusted series, according to data published by the National Institute of Statistics (INS) on Wednesday, 6 October. Retail sales of fuels for motor vehicles in specialized stores decreased by 2.1%.
Romania’s ten-year financing cost grew considerably on Tuesday, 5 October
Romania’s ten-year financing cost (RO10Y), the barometer for the cost of money in economy, grew considerably on Tuesday, 5 October, and reached a new local record-high of the past two years, of 4.65%, amid the fall of Cîţu Government and the National Bank of Romania (NBR)’s decision to increase the key rate by 0.25%, to 1.5%. Long-term financing costs have restarted growing in the past few weeks, amid the deepening political crisis, after the ten-year yield had stood at 3.86% on 17 September.
Financial 
Patricia Andrei is CEC Bank’s new HR Director
Patricia Andrei is CEC Bank’s new HR Director and will coordinate the entire human resources activity of the bank with the largest territorial network in Romania, which includes over 1,000 units and nearly 6,000 employees in the entire country. The new Human Resource Director, who has over 22 years of experience in this sector, held various positions within ING Romania’s HR department for over 19 years, and led the aforementioned bank’s human resources team during the period 2014-2019.
Competition Council has approved Idea Bank’s takeover by Banca Transilvania
The Competition Council has authorized the transaction through which Banca Transilvania, the biggest bank in Romania, took over the entire stake held by the Poles from Getin Holding at Idea Bank, including participations within the companies Idea Investment, Idea Leasing and Idea Insurance Broker, for EUR 43 million, at the beginning of June. Idea Bank had RON 2.7 billion (EUR 555 million) assets and a 0.48% a market share at the end of 2020, while the bank’s equity stood at RON 229 million (EUR 47 million), compared to the RON 326 million share capital, the negative difference of RON 114 million representing the losses accumulated over time and which have not been recovered so far.
Investment 
CEWE will invest over EUR 20 million in Romania in 2021
CEWE, which currently operates 14 factories in Europe, has about 4,000 employees and is present in 21 countries, with over 20,000 retail units, will invest over EUR 20 million in equipment integrated into partner networks in Romania in 2021. Clients will thus benefit from the latest technology developed by CEWE and from the most innovative products in more than 300 stores at national level.
Real estate developer Millstone Developments will build a residential project in Bucharest
Real estate developer Millstone Developments announced on Wednesday, 6 October, that it had obtained the building permit for a residential project in Bucharest. The exclusive project of only 24 apartments will require an over EUR 8 million investment, and works are scheduled to start in Q2 of 2022. The design of the building is in line with the historic area it will be located in, according to the developer. The project will include three- and four-room apartments, as well as three- and four-room duplexes, with 35 parking spaces.
Holde Agri Invest has purchased a new farm in Călăraşi County
Holde Agri Invest, a Romanian company exploiting agricultural lands, announced on Wednesday, 6 October, that it had purchased a new farm in Călăraşi County, which has an area of 230 hectares of land, and is entirely operated within a lease system. The value of the transaction amounts to RON 2 million. The recently acquired farm is part of Holde’s plan to use the sum attracted from investors following the share capital increase operation carried out in July this year, in order to expand the land areas exploited by the company.
Legislative 
UDMR deputies propose extending immediate interventions in case of bears outside built-up areas
Environment Minister Tanczos Barna announced on Wednesday, 6 October, that the deputies of the Democratic Alliance of Hungarians in Romania (UDMR) had amended the draft law approving the emergency ordinance regarding immediate interventions in case of aggressive bears. The proposal aims to extend the regulation outside built-up areas as well. Minister Tanczos Barna also announced that the amendment had been voted in the Chamber of Deputies’ Committee on Agriculture.
Senate has adopted a legislative initiative of USR political party
The Senate adopted USR’s legislative initiative compelling public institutions and associated companies that collect taxes, fees and fines as well as other payment obligations, to accept payment by card and online. The initiative passed the Senate with 88 votes in favor, 1 vote against and 37 abstentions and will be debated by the Chamber of Deputies, which is the decision-making chamber.
European News 
European Commission presented first-ever EU Strategy on combating anti-Semitism
On Tuesday, 5 October, the European Commission presented the first-ever EU Strategy on combating anti-Semitism and fostering Jewish life, which will be implemented over the period 2021-2030. With anti-Semitism worryingly on the rise, in Europe and beyond, the Strategy sets out a series of measures articulated around three pillars: to prevent all forms of anti-Semitism; to protect and foster Jewish life; and to promote research, education and Holocaust remembrance.
Social 
CNSU has proposed extending the state of alert by 30 days
The National Committee for Emergency Situations (CNSU) decided, during Wednesday’s meeting, to request the extension of the state of alert in Romania, with maintaining the measures taken upon the previous extension, in September. The 30-day extension will enter into force on 10 October. The decision must be confirmed by a government decision. The obligation to have and present a digital green certificate in order to have access to various activities in localities where the Covid-19 incidence rate has exceeded 3 cases per one thousand inhabitants will thus be maintained. Children under 12 continue to be exempted from this obligation.
Education Minister announces that 77.5% of students do not want to get vaccinated against Covid-19
On Wednesday, 6 October, the Minister of Education announced the number of students to have filled in the form regarding their intention to get vaccinated against Covid-19. According to Sorin Cîmpeanu, 7.5% of students agree to get vaccinated, 15% have not made a decision yet, and 77.5% do not agree with anti-Covid-19 immunization. The number of infected students amounted to nearly 13,000 on Wednesday. Moreover, there are also 4,392 people in the education system who became infected with Covid-19.