Ooni Koda
  1. Home
  2. /
  3. Newsfeed
  4. /
  5. In 2020 number of impact of companies in...

In 2020 number of impact of companies in imminent insolvency at highest level in last years

December 8, 2021

The number of impact companies in imminent insolvency (6,654)  was in 2020 at the highest level in past years, but the big difference between the number of companies in imminent insolvency and of those who accessed insolvency or financial restructuring (293) indicate the existence of a high number of companies in difficulty that do not access restructuring measures, according to a study made by CITR specialists.   That level can be compared to that of 2013, when the number of imminent insolvencies was the highest in history, as a result of extended effects of the 2008 financial crisis, the source points out.   According to the study, companies in difficulty represent 45% of impact companies, the percentage remaining  constant for 7 years and only 1% of impact companies in imminent insolvency succeed to get better.   The most prominent causes, although meant to help even the businesses on a long run, were the very measures adopted at international scale for the attenuation of the Sars-Cov 2 virus impact on the people. They had a significant impact on economy in Romania especially in the second quarter, by the temporary stop of operations in the processing sector, the limitation of the people's circulation with major impact in fields like the transport of people, tourism, services, a press release shows.   The analysis shows there are market studies which cancel the idea of a wave of insolvencies generated by the pandemic: a 15% increase of the number of insolvencies is expected to grow at world level, compared to 2021, but that means only a return to the level considered normal before the pandemic.   Another conclusion of the CITR study is the fact that only 1% of companies in imminent insolvency in 2020 succeeded to be financed by their own methods. The study had in view companies which went from  imminent insolvency in 2019 to fanciable companies in 2020.   The analysis indicated the fact that this passage  was due to internal measures of restructuring or capital loan from shareholders, measures very difficult to be implemented in conditions of the entrepreneurs' lack of experience in restructuring techniques and in the conditions of an acute lack of capital for investments in companies in difficulty. State companies make no exception, about 30% of impact companies being in difficulty. Although there are companies which showed opening toward the prospects of restructuring, such as Romaero or CFR Marfa, more positive examples are needed, CITR specialists say.   The analysis also mentions that in the context of an unprecedented crisis,EU intends to stimulate companies with financial difficulties to resume activity, to facilitate access to restructuring measures at the first signs of difficulty. The 7th edition of the study has 2020 as reference year, an atypical year full of challenges and new situations facing economy in recent history.

Read in full - click here
Frightfully fun: Halloween 2025 events in Bucharest and in the country

The imported celebration is creeping up fast, and various events promise a scare-filled schedule for all ages. A selection of what is happening in Bucharest and in the country below. In Bucharest: Titan Pumpkin Fest October 17 - October 19 Visitors are invited to explore four themed areas: a creative workshop space, a performance stage, […]

Romania – the New Hotspot for Real Estate Investments in Central and Eastern Europe

North Bucharest Investments anticipates a surge in international interest in the local real estate market following the launch of the Romanian Golden Visa program — a modern mechanism granting foreign investors a 5-year residence permit and the possibility to later apply for Romanian citizenship. The program, which allows eligible investments starting from €400,000 in real […]

Bucharest is becoming the epicenter of climate action. Ten reasons to attend the Climate Change Summit 2025

Between October 21-25, Bucharest hosts the Climate Change Summit, the most important event in Central and Eastern Europe dedicated to climate action. The main event will take place on October 21 at the Palace of Parliament, featuring the participation of international leaders, decision-makers, and sustainability experts. CCS Week includes...

Romanian design, sculpture on show in Paris

The works of several Romanian designers and artists will be on display at the Hôtel de Béhague in Paris, the headquarters of the Romanian Embassy, as part of the exhibition Valuable. The Romanian artists and designers included in the exhibition are Radu Abraham, Mircea Cantor, Bogdan Ciocodeică, Constantin Flondor, Cosmin Florea, Nona Inescu, Șerban Ionescu, […]

SCUT brings a unified vision on digital protection - a cybersecurity architecture that eliminates fragmentation between systems

SCUT, Romania’s newest cybersecurity company, has officially launched the concept of the digital cyber shield — a unified approach, co-created with Orange Cyberdefense — that provides a high level of protection, complete visibility, and coordinated assistance in the event of a cyberattack. The event, organized in Bucharest, brought together industry experts, partners of the new […]

Romanian engineering company Simtel to open factory for industrial cleaning robots

The Romanian engineering and technology company Simtel (BVB: SMTL) announced on Tuesday, October 14, that one of its companies will open a factory in Băicoi, Prahova, to produce industrial cleaning robots. Simtel has a 51% stake in Agora Robotics, the company that will operate the factory set to open in November. “We already have a […]