fbpx Modifica setari cookieuri

SIMILAR ARTICLES

Romania is a net importer of electricity in 2020 as well

Romania imported an amount of electricity of almost 796 GWh in the first month of this year, by more than 36% above what it exported… Mai mult

Shareholders of Galati steel plant promise investments of one billion euros

GFG Alliance has committed to invest one billion euros to upgrade Galati steel plant in order to reduce emissions and increase production. Another EUR 1… Mai mult

Green Deal / New, additional European funds for Romania – negotiation position assumed by MEP Siegfried Muresan

The transition to a green economy needs to be supported by new, additional European funds, distinct from Romania’s allocations from the future EU multiannual budget.… Mai mult

EBRD investments in Romania have decreased by EUR 174 million in the last two years

Romania fell 3 places to the 10th position in the ranking of largest investments made by the European Bank for Reconstruction and Development (EBRD), after… Mai mult

Transport Ministry announces it has sent to Brussels the financing request for Sibiu – Pitesti highway

The Transport Ministry, as the Intermediate Body in Transport, approved the financing request for the project “Construction of Sibiu – Pitesti highway”, Sections 1, 4… Mai mult

BNR: If we sold foreign currency to defend Romanian leu, as PSD wants, interest rates would explode and ROBOR would go over 5-7 percentage points

de Adrian N Ionescu , 4.2.2019

The National Bank of Romania wants a “loyal cooperation” with the Ministry of Public Finance, and that involves a prior consultation with the central bank when taking decisions that affect the monetary policy and financial stability of the country, according to a press statement made by BNR spokesperson, Dan Suciu (foto).

OUG 114 (the so-called Ordinance on Greed), which requires banks to pay an asset tax related to ROBOR level and overtaxes energy and telecommunications companies, will be analysed on February 7 at this year’s first meeting of the National Committee for Macro-prudential Supervision, which will be attended by BNR Governor Mugur Isarescu and Minister of Finance Eugen Teodorovici.

“The National Bank of Romania is permanently involved, especially during these days, in establishing and implementing the monetary policy and exchange rate policy in the context given by internal and international factors. In this context, the BNR wants the same as in the past, “loyal cooperation with the Ministry of Public Finance for harmonizing fiscal and monetary policies, for the benefit of citizens and the business environment”. Such cooperation requires a prior consultation with the BNR when decisions that affect the central bank’s monetary policy and the country’s financial stability are made,” Dan Suciu says.

On Thursday, PSD asked the BNR to do its job and defend the national currency and said the central bank has enough resources to do so.

On Friday, the Finance Ministry drew attention to the need for the central bank to establish and supervise the compliance with the currency regime. In addition, the ministry stressed that “the Government wants a loyal cooperation” with the central bank.

BNR announced on Friday a benchmark exchange rate of 4.7648 RON. The market is at a stage when is looking for a new balance level, as it is affected by the lack of credibility induced by recent legislative measures, including OUG 114/2018.

“There has been a lack of credibility among investors owning RON and starting to give up their RON holdings, hence the pressure created. RON is ultimately a convertible currency, it is traded on a large market, not only in Romania, therefore the credibility of the local situation is extremely important in setting the expectations,” said Dan Suciu, quoted by Mediafax.

Adrian Vasilescu: If the National Bank sold foreign currency to defend Romanian Leu, as PSD recommends, interest rates would increase, ROBOR would go over 5-7%

ROBOR could exceed 5% if the BNR intervened in the market with the aim of strengthening RON by selling Euro reserves, as requested by PSD, explained Adrian Vasilescu at Antena 3.

“The BNR is looking at this recommendation; it has EUR 36 billion, so that’s what PSD recommends, namely to solve the problem with these reserves. How the BNR can use the reserve in this situation (…) So, we come with foreign currency in the market, we take the RON amounts from investors because investors who have now RON would like to get rid of them because this is happening on the international market, they want to get rid of the Romanian securities, change them into foreign currency (…) Well, if the National Bank would bring too much amount in foreign currency these days when the international market is putting pressure on the domestic market, what would happen? The foreign currency would be in excess, investors’ RON amounts in the market would be in deficit, the interest would rise, and ROBOR would go over 5 or over 6 or over 7. The intervention on the foreign exchange market is like brain surgery. You cannot make surgery on the brain without thinking about the consequences,” Adrian Vasilescu said.

Mergeți în homepage ›

Publicat la data de 4.2.2019

Lăsați un comentariu


NEWS

Romania is a net importer of electricity in 2020 as well

Romania imported an amount of electricity of almost 796 GWh in the first month of this year, by more than 36% above what it exported… Mai mult

Shareholders of Galati steel plant promise investments of one billion euros

GFG Alliance has committed to invest one billion euros to upgrade Galati steel plant in order to reduce emissions and increase production. Another EUR 1… Mai mult

Transport Ministry announces it has sent to Brussels the financing request for Sibiu - Pitesti highway

The Transport Ministry, as the Intermediate Body in Transport, approved the financing request for the project "Construction of Sibiu - Pitesti highway", Sections 1, 4… Mai mult

Romania and Juncker Plan: EUR 720 million attracted, of which 35% by Transgaz for BRUA

(The map of investment financed through Juncker Plan, by GDP share. Darker colours mean higher shares) The operator of national natural gas pipelines, Transgaz (TGN)… Mai mult

Top 3 reasons why young people leave Romania

Lack of trust in authorities, corruption and low living standards are the main reasons why young people leave Romania. The data is part of a… Mai mult

IMM Invest Romania – program implementing rules have been published

The Ministry of Public Finance announces that it has issued the methodological norms for the implementation of the Program for supporting small and medium-sized enterprises… Mai mult

Pollution import and car park expansion: comparisons with the other EU states

Romania is the EU country with the fewest cars in terms of the number of inhabitants, according to data recently published by Eurostat. We appear… Mai mult

Government is trying to save budget deficit: reductions in public administration system, cancellation of bonus for harmful conditions, excise duty on soft drinks

The Government is preparing the public for the first measures aimed at avoiding the budget slippage, which would be applied by the PSD-ALDE government. News… Mai mult

Laura Codruta Kovesi remains alone in the race for European Chief Prosecutor

French Prosecutor Jean-Francois Bohnert will be appointed as head of the European Financial Prosecutor's Office, a position for which he was heard on Thursday, 11… Mai mult

Romania - EU country with highest risk of dying in a road accident, Bulgaria is quickly decreasing number of victims since it built motorways

Romania recorded the highest road deaths in the EU also last year, with 96 deaths per one million inhabitants in 2018, almost double the EU… Mai mult

Latest developments in progress at Health Ministry: Differentiated wages based on performance, competitions organised at a regional level not by hospitals

Sorina Pintea announced on Thursday further new changes that will be brought to the functioning of the health care system, including new rules for employment… Mai mult

ANAF changes selection procedure for liquidators. Main changes

The new order on approval and selection procedures for insolvency practitioners is an important step to a very good direction, industry experts say. ANAF is… Mai mult

Romania loses competition for a seat at UN Security Council. MAE Excuse: Campaign started too late

Romania lost to Estonia in the final vote to get the non-permanent member position within the UN Security Council for the period 2020-2021. On Friday,… Mai mult

Business internationalization / eMAG makes a step to entry five new international markets and targets a business of EUR 2 billion

eMAG hopes to get the opinion of the Hungarian Competition Council over the next two months for the acquisition of Extreme Digital, the market leader… Mai mult