EBRD: Romania’s GDP To Grow By 4.8% In 2016, Highest Growth In Europe
The European Bank for Reconstruction and Development (EBRD) on Thursday revised Romania’s GDP growth forecast for this year from 4% to 4.8%, the highest growth in Europe. EBRD also revised the country’s economic growth forecast from 3.5% to 3.7% for 2017.
“The Romanian economy grew by 3.8 per cent in 2015, supported by domestic demand. While private consumption was the major driver of growth, in a low-inflation environment and helped by a rise in income, investments grew on the back of the lower cost of funding, due to improved investor confidence and historically low lending rates. Consumption will be pushed up by a cut in the VAT rate to 20 per cent from 24 per cent as of January 2016, a 19 per cent hike in the minimum wage as of May 2016, planned wage hikes in the public sector, improved economic sentiment and a low inflation environment. Private investments will continue to grow on the back of the lower cost of funding and an abolition of the construction tax as of 2017,” EBRD said in a report.
Although public investment might decline due to the end of the previous EU-funding period, public consumption will likely rise on the back of wage rises in the public sector, thus putting some pressure on the fiscal balance, the report reads. (Puterea)
Giurgiu-Ruse Gas Pipeline To Become Operational On November 11
The Giurgiu–Ruse natural gas pipeline will become operational next week, on November 11, according to Bulgarian PM Boyko Borisov, cited by BTA.
Romanian state-run natural gas transporter Transgaz (TGN.RO), which is involved in the project, stated that the secondary (reserve) pipeline has already been placed under the Danube river and they will start the tests in the upcoming period.
Transgaz added that the pipeline will become operational by the end of the month.
“Although the financing contract and the contract for construction works stipulated that the deadline for the works would be 31.12.2016, due to the use of advanced technologies, the use of successful technical solutions and the involvement of specialized personnel (…) the pipeline will become operational by the end of November 2016, one month earlier than scheduled,“ Transgaz said in a statement. (Adevarul)
China Sets Up EUR10B Fund For Investments In Central, Eastern Europe
China has set up a EUR10 billion investment fund for projects in Central and Eastern Europe, Industrial and Commercial Bank of China (ICBC) said in a statement Sunday.
According to Reuters, China-Central Eastern Europe fund will be managed by Sino-CEE Financial Holdings Ltd, a company established by the bank earlier this year. The fund aims to raise EUR50 billion to finance projects for sectors such as infrastructure, high-tech manufacturing and consumer goods.
Investments could be extended to the rest of Europe and other regions if relevant to China-Central and Eastern Europe co-operation. The fund will be backed by Beijing government but will operate under business principles.(Romania Libera)
Dacian Ciolos Joins PNL Electoral Campaign
The National Liberal Party started the electoral campaign by presenting part of its candidates in a meeting whose leading character was Prime Minister Dacian Ciolos.
Thus, the liberals managed to gather approximately 30,000 members and supporters in Revolution Square on Sunday.
Dacian Ciolos came to the meeting to show his support for PNL although he is not a party member, adding that PNL is one of the parties which has assumed reform and deserves to be supported at the parliamentary elections taking place on December 11.
“I saw here on various placards and in the film presented, that they talk about leaders. I think we can no longer talk about Messianic leaders in the Romania of the future,” Ciolos stated. (Adevarul)
Health Ministry To Buy 1.5 Mln Doses Of Hexavalent Vaccine For RON282M
The Romanian Health Ministry started an auction estimated at RON281.97 million, VAT not included, for purchasing a maximum number of 1.5 million doses of hexavalent vaccine for a two-year period.
In September, Health Ministry bought 255,000 doses of hexavalent vaccine from Sanofi company, through Unifarm, after the contract with medicine distributor Polisano was rescinded.
The hexavalent vaccine protects children against six priority diseases: poliomyelitis, diphtheria, tetanus, pertussis (whooping cough), invasive infections caused by Haemophilus influenza type b, hepatitis B. By combining six vaccines into one, the vaccine reduces the number of injections, improving comfort and vaccination compliance for infants. (Adevarul)