News

Daily Newsletter - 9 September 2019

Summary

Macroeconomic News (4)

VAT non-collection rate stopped growing

The National Fiscal Administration Agency (ANAF) announced that the VAT non-collection rate has stopped growing for the first time in five years. The European Commission has recently released a report called "VAT Fiscal Gap". In Romania's case, the gap dropped from 35.8% in 2016 to 35.5% in 2017.

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More than 50% of loans go to six counties

Most of the RON-denominated loans granted by bankers to retail and corporate clients are concentrated in six strongly urbanized counties: Bucharest (including the Ilfov county), Cluj, Timis, Constanta, Brasov and Iasi. The six counties had more than RON 96.5 billion in financing. The lowest borrowing figures came from the Giurgiu, Covasna, Mehedinti, Harghita and Caras-Severin counties.

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Industry, agriculture and finance - zero contribution to 4.7% GDP increase

The National Statistics Institute (INS) confirmed the initial 4.8% growth rate for the GDP in the first half of the year. The GDP value in nominal prices was around RON 441 billion, but the seasonally-adjusted figure is almost RON 509 billion.

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Energy transition could bring Romania RON 3 billion in industrial production and 50,000 new jobs

Energy transition through the gradual replacing of fossil fuel with renewable sources by 2030 will generate a net industrial production growth of EUR 113 billion to EUR 145 billion, with Romania expected to reap between EUR 2 and 3 billion, according to the Just E-Volution study from The European House - Ambrosetti.

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Financial News (3)

Cigarette smuggling at six-year low

The black market for cigarettes dropped to 13.7% of consumption in July, down 1.2 pp from May and 3.6 pp from January, according to Novel Research. Contraband cigarettes dropped below 14%, a figure not seen in six years.

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Enel mulls selling assets

Francesco Starace, CEO of Enel, said he is considering the selling of certain assets in Romania. According to Starace, the Italian group has reached an operational balance in Romania and no longer expects any "major growth". This situation is not limited to the local market.

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Transelectrica to make new attempt at increasing equity

CNTEE Transelectrica will make a new attempt to increase its equity by RON 20.24 million at an extraordinary shareholder meeting scheduled for October 11, according to a notification sent to the Bucharest Stock Exchange (BVB).

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Investment News (2)

Builder ready to start working on Sector 2

The winner of the construction contract for Sector 2 of the Craiova-Pitesti Expressway is ready to begin working, according to statements made at Friday's meeting of the working group. The group is made of 35 individuals who will monitor and analyze the construction work.

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C.E. Oltenia inaugurated new coal warehouse

C.E. Oltenia, one of the leading electricity producers in Romania, has inaugurated a new coal warehouse at the Rosia-Rovinari mine. The project was worth almost EUR 10 million. Company representatives say the new warehouse includes a series of environment protection factors, such as 2.5 kilometers of panels designed to reduce noise pollution.

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Politics (1)

PSD counts on ALDE traitors

Prime Minister Viorica Dancila said in Deva, on Saturday, that "many colleagues" from ALDE did not want to resign after the break-up of the ruling coalition, but they can be counted on to support the PSD.

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