Romania Increases Pension Point
The pension point (an indicator used to calculate pensions) will increase by several percentages, the first labor category was reintroduced through a legislative amendment, and over 200,000 pensions will be recalculated after three pensioners sued the state.
A court ruling and two legislative amendments will change the pension calculation formula. (Evenimentul Zilei)
New List Of Compensated And Free Drugs Could Become Effective Sooner
Romania’s new list of compensated and free medicines, which includes new innovative drugs for the treatment of cancer, diabetes and hepatitis C, might become effective sooner, following debates at the Health Ministry on Monday.
Mid-April 2013, Health Minister Eugen Nicolaescu said the new list of compensated drugs might become effective starting July 1, 2013, while therapeutic protocols, whereby doctors will be advised to recommend generics, might become effective by the end of 2013. (Adevarul)
Romania Housing Permits Down 11.8% On Month To 2,875 In November
Romanian housing permits fell 11.8% to 2,875 units in November from 3,258 units a month earlier, the country’s statistics institute INS said Monday.
However, the number of new residential building permits was up 10% compared with November 2012, the data showed.
New permits for non-residential buildings, including administrative structures, stood at 586 units, compared with 688 units in October.
In January to November, Romania issued 35,223 housing permits, down 0.8% on the year. (Evenimentul Zilei)
Study: Romania’s Shadow Economy At Nearly 28.4% Of GDP In 2013
Black market activity in Romania made up around 28.4% of the country’s gross domestic product in 2013, the equivalent of EUR39.5 billion, roughly as much as Bulgaria’s entire economy, according to a study by consulting company A.T. Kearney.
In nominal terms, the EUR39.5 billion exceeds the EUR38.3 billion level registered in 2012, even if the share fell from 29.1%.
Romania ranks second among European Union member states by the share of the shadow economy in gross domestic product. Illicit economic activity makes up 22.1% of national income in Hungary, 23.8% in Poland, whereas in Slovakia and the Czech Republic it accounts for 15% and 15.5%, respectively.
The shadow economy includes those economic activities and the income derived thereof that avoid government regulation or taxation. The major component (about two thirds) is undeclared work, which refers to the wages that workers and business don’t declare to avoid taxes or documentation. The rest is represented by business underreporting profits to avoid tax regulation. (Adevarul)
BNR: Overdue Loans Rose By RON460M In November 2013
Romanian overdue private loans rose by RON460 million in November 2013, to RON32.9 billion, central bank data showed Monday.
Overdue private loans increased by 1.78%, or RON120 million, on the month in November 2013, up to RON6.85 billion. (Curentul)
Former PM Nastase Sentenced To Four Years In Prison For Corruption
Romania’s former social-democrat prime minister Adrian Nastase was sentenced Monday to four years in prison for blackmail and bribe taking, while his wife Dana Nastase received a suspended three-year sentence in the same case.
Nastase was sentenced by a five-judge panel of the High Court of Justice to three years in prison for bribe taking and four years for blackmail. The Court ruled the sentences would be merged and Nastase would serve the four-year term.
Upon release from prison, Nastase loses the right to run or be elected for public office for five years.
In March 2012, Nastase had received a three-year suspended sentence for blackmail in the same case and had been acquitted of bribery charges, but the ruling was appealed by the defendants and prosecutors alike.
Nastase was in prison between June 26, 2012 and March 18, 2013, serving a two-year sentence for corruption in a separate case. He was released on parole. (Gandul)