Lei depositors are penalized by low interest rates, which is a reason why BNR will have to increase interest rates further to prevent a migration to the euro, the so-called Euroization of the economy, Valentin Lazea, chief economist at the national Bank of Romania (BNR), said recently at a specialized conference. The BNR official said that the rate between loans and deposits is kept subunit both for the lei – 0.82 in April as well as for foreign currency – 0.51 in April. ‘In other words, there are fewer loans both in lei and in foreign currency than deposits in banks. What does it mean? It means that the banks have sufficient funds for lending, but they do not find enough possibilities to place them – and this is happening as almost 40% of the Romanian companies are non-bankable – a story which has been lasting for 30 years – nobody wants to deal with it. What is 40% of the non-bankable companies? It means lower capital than 200 lei or negative capital. Lending could exist, but first you need to exist the capitalization of the companies’ Lazea said.As regards lending, the first five months of 2022, despite the war in Ukraine, lending has increased in nominal terms, both the governmental one and the non-governmental. As regards the profitability of the banking system, the BNR head economist said that, after four months, namely between January – April, the cumulated profit is 2.9 million lei, being approximately similar to the previous year, when it was almost 8,2 billion lei, for the whole year.
In European offices, there is a steadily growing interest in spaces that are not only beneficial to productive work but also reflect a modern approach to ergonomics and aesthetics. Romania is also part of this trend, with more and more companies investing in modern offices that combine functionality with exceptional design. In this article, we'll […]
By Ambassador Extraordinary and Plenipotentiary Permanent Representative to the Council of Europe, Dr. Ion I. Jinga Strasbourg, January 2025 Motto: “Precedents in history can furnish no other light than that of beacons, which give warning on the course to be shunned, without pointing out that which ought to be pursued.” Alexander Hamilton, Founding […]
A technical evaluation mission of the Secretariat of the Corporate Governance Committee of the Organisation for Economic Co-operation and Development (OECD) took place on January 20-23 at the General Secretariat of the Government (SGG).According to SGG, the major objective of the mission was to analyse and evaluate the implementation by Romania, as a candidate state, […]
The state budget deficit forecast for 2025 has increased to the average value of expectations of 7.3% of GDP and economic growth expectations are at the average value of 1.3%, according to the estimates of analysts from the CFA Romania Association.Public debt calculated as a percentage of GDP is expected to increase to 57% in […]
New orders in the manufacturing industry increased by 2.7%, in nominal terms, overall (domestic and foreign markets), between January 1 and November 30, 2024, compared to the same period in 2023, according to data published on Thursday by the National Institute of Statistics (INS).In the same period, the evolution of new orders in the manufacturing […]
The Élysée Treaty is the foundation of the close Franco-German friendship and the symbol of reconciliation between Germany and France after World War II, said the German ambassador in Bucharest, Peer Gebauer.The message is sent by the German diplomatic mission in the context in which Germany and France celebrate 62 years since the signing of […]
