SIMILAR ARTICLES

ECOFIN / Tax havens list has been updated. Politico: Eugen Teodorovici took EU Finance Ministers by surprise

Finance Ministers of the EU voted on Tuesday at the third meeting of the Council for Economic and Financial Affairs (ECOFIN) chaired by Romania, the… Mai mult

March 15, 15:00, for 15 minutes: Romania really wants highways!

Dozens of companies, mayoralties, sports teams, public figures, organizations and many ordinary people joined the protest “Romania wants motorways”. Of course, the country did not… Mai mult

Facebook has removed 30 pages and PSD propaganda accounts in Romania

Facebook announced Thursday that it has closed hundreds of false accounts promoting false content in the UK and in Romania and this is the first… Mai mult

Laura Kovesi, indicted in a second case opened by Magistrates’ Investigation Section

Laura Codruta Kovesi was indicted on Thursday in a second case. The section for investigating the crimes committed by magistrates accused her of having led… Mai mult

Gold reserve was still untouched: Populist diversion or another act against the BNR’s independence

The draft law on the so-called repatriation of Romania’s gold reserve is either a populist diversion or another attempt to remove gold from the administration… Mai mult

Cronicile

Sovereign Fund gets legal base. Details announced by Minister Teodorovici

de Victor Bratu , 19.11.2018

The Government adopted on Thursday the ordinance that provides for the general framework for the establishment of a Sovereign Fund.

Later, after new talks with ALDE coalition partners, Social Democrats will also impose a government decision to establish the famous Sovereign Development and Investment Fund, one of the priorities from the government program drafted by Darius Valcov.

Prime Minister Viorica Dancila announced at the beginning of the meeting at Victoria Palace that this “financial instrument for supporting Romania’s economic development” is needed.

Minister Eugen Teodorovici: The Fund can sell companies from portfolio on the Stock Exchange

The Finance Minister explained on Thursday that the companies from the Sovereign Fund could be listed and sold on the Stock Exchange in a proportion of over 51%. The state will have only two representatives out of nine in the Fund’s management and its governance will be ensured based on the OUG on corporate governance.

The main remarks made by the Minister of Finance:

  • The purpose of the Fund is not the privatization of companies. The fund will be active in PPP participations and will help the financing of start-ups, increase companies’ competitiveness, create jobs, develop human capital, etc.
  • OUG 109 provisions on companies’ corporate governance will be followed.
  • It will be possible to sell more than 51% of the companies’ capital by listing them, without an upper limit, as this is the practice for other funds and to demonstrate to EU authorities that there are no bureaucratic limitations created by the state.
  • The companies that will be included in the Fund will be decided next week. The state had only two representatives of the nine members of the Sovereign Fund’s management.
  • Viorica Dancila stressed that there will be projects implemented including by public-private partnerships.

Such a development model, successfully applied in other countries, brings benefits at several levels, by profitable investments and supporting projects in priority areas. By establishing sovereign development and investment funds we aim at creating some vehicles of financial investment and intermediation, shares or participations in profitable projects or companies, a segment that currently is not covered by the financial market in Romania, which, on the one hand, would have a multiplier role in the economy, for a sustainable development and, on the other hand, would stimulate, mobilize available financial resources toward the real sector and, at the same time, toward profitable projects. The activity of the fund will support development areas and activities such as: financing Romanian companies of a strategic importance, investments in manufacturing industry, investments in infrastructure projects, increasing Romanian economy’s competitiveness, pursuing the energy strategy, capital markets. There are large-scale projects that we can develop together with other institutional or private investors, including by participating in public-private partnerships, as we have committed within the government program,” Viorica Dancila said on Thursday.

On Tuesday, Finance Minister Eugen Teodorovici said the draft Emergency Ordinance on the Establishment of the Sovereign Development and Investment Fund has received all the necessary approvals. He said that after the adoption of the OUG, new talks will take place within the coalition, with ALDE, on the list of companies that will be included in the sovereign fund.

On 10 November, the Finance Ministry launched for the public debate the framework draft for the establishment of sovereign funds and invoked “an extraordinary situation whose regulation cannot be postponed, as immediate actions need to be taken by the means of emergency ordinance.”

PSD President Liviu Dragnea announced on November 3, after hours of talks with ALDE leaders, that the ordinance for the establishment of the Sovereign Fund “will be adopted in the first government meeting”.

In July, the Constitutional Court upheld all the objections raised by the opposition and President Klaus Iohannis on the Law on the establishment of the sovereign development and investment fund, issued by the Parliament and stated that such a Fund should be established by government decision.

The draft approved by the Parliament indicated that 33 large state-owned companies and a capital injection of RON 9 billion are to be managed by an institution whose leaders will be appointed by the Government.

Mergeți în homepage ›

Publicat la data de 19.11.2018

Lăsați un comentariu


NEWS

ECOFIN / Tax havens list has been updated. Politico: Eugen Teodorovici took EU Finance Ministers by surprise

Finance Ministers of the EU voted on Tuesday at the third meeting of the Council for Economic and Financial Affairs (ECOFIN) chaired by Romania, the… Mai mult

March 15, 15:00, for 15 minutes: Romania really wants highways!

Dozens of companies, mayoralties, sports teams, public figures, organizations and many ordinary people joined the protest "Romania wants motorways". Of course, the country did not… Mai mult

Facebook has removed 30 pages and PSD propaganda accounts in Romania

Facebook announced Thursday that it has closed hundreds of false accounts promoting false content in the UK and in Romania and this is the first… Mai mult

Laura Kovesi, indicted in a second case opened by Magistrates' Investigation Section

Laura Codruta Kovesi was indicted on Thursday in a second case. The section for investigating the crimes committed by magistrates accused her of having led… Mai mult

Gold reserve was still untouched: Populist diversion or another act against the BNR’s independence

The draft law on the so-called repatriation of Romania's gold reserve is either a populist diversion or another attempt to remove gold from the administration… Mai mult

Magistrates’ protest, extended to 80 courts and prosecutors' offices. List of requests

The protest of magistrates from Cluj Napoca. More than 200 prosecutors and judges, with white bands on their arm, came in front of the local… Mai mult

Laws on judiciary, amended again by OUG: judges who were once prosecutors may be appointed as prosecutors

The Government approved on Tuesday an OUG that was not publicly debated, which amends several provisions from laws on the judiciary that refer to prosecutors… Mai mult

"Iceberg" operation: ANAF announces that it selected 487 companies which are to be audited based on risk analysis

Virgil Pirvulescu, Vice President of ANAF at PwC Annual Tax Conference The National Agency for Tax Administration (ANAF) has identified 487 large and medium-sized companies… Mai mult

Commissioner Corina Cretu: There is a risk that Magurele Laser will not be completed during this budget implementation

In the absence of a rapid response from the Romanian Government to the European Commission, there is a risk that Magurele Laser can no longer… Mai mult

Romania joins countries that recognize Juan Guaidó as interim president of Venezuela

The Presidential Administration announced on Friday that President Klaus Iohannis, "as the head of Romania’s foreign policy decisions and Romania's representative at the external level,… Mai mult

AmCham Romania: Counterproductive public policies have reched an alarming level

Further to the message on the impact of OUG 114/2018 transmitted on Thursday to the organizations in the Coalition for Development of Romania (CDR), AmCham… Mai mult

Finance minister stopped borrowing money from the market. Teodorovici: We have funding resources for minimum six months

Minister of Public Finance (MFP), Eugen Orlando Teodorovici, has ordered to stop borrowing operations on the market because MFF would have all the money needed… 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

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… Mai mult

Tax on bank assets was not included in 2019 draft budget

The tax on bank assets was not included in the 2019 draft budget, published on Thursday evening by the Ministry of Public Finance (MFP). According… Mai mult