INFLATION
\nThe National Bank of Romania Friday raised the monetary policy interest rate
\nfor the 6th time this year, in an effort to keep inflation in check.
\nThe key interest went up 0.75%, to 5,5% per year, and takes effect on Monday. The
\ncentral bank also decided to raise the interest rates for loans and for
\ndeposits. Keeping a firm control on cash flows in the monetary market and
\nmaintaining the current levels of minimum compulsory reserves for banks’
\ndomestic and foreign currency liabilities are also decisions made on Friday by
\nthe National Bank. Experts expect a steady annual inflation rate in Q3 and a
\ngradual decrease later on. In June the inflation rate reached 15.1%.<\/p>\n
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DIASPORA
\nThe Romanians in the diaspora who plan to return and invest in a business that
\ncreates at least 2 new jobs may obtain funding of up to EUR 40,000 under the 3rd
\nedition of the Start-Up Nation programme, the Romanian tourism ministry
\nannounced. Applicants whose start-ups create only one job may receive up to EUR
\n20,000. To benefit from the EUR 4 million programme, applicants must submit
\nproof of their residence abroad.<\/p>\n
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BUDGET
\nA state budget adjustment is scheduled for next week in Romania, according to
\nPM Nicolae Ciuc\u0103. Among other things, expenses with supplies and services will
\nbe cut by 10% for each ministry. An analysis will also be conducted to ensure
\nthe coherence of the forthcoming budget adjustment and of the funding programmes
\nfor Romania.<\/p>\n
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ECONOMY
\nEast-Europeans started to feel the effects of the war in Ukraine later than the
\nmajor Western economies, due to 2-digit salary increases and generous
\nsubsidies. Now however, they have to reduce their expenses in order to make
\nends meet, reads a Reuters analysis, according to which the 2-digit inflation,
\nthe over 15% rise in foodstuff prices and the growing energy costs are affecting
\nthe spending power of people in Eastern Europe. In Poland, people are
\nshortening their holidays, Czechs are saving by eating out less and looking for
\na second job, while in Hungary people are buying less food and a lot fewer
\ndurable goods. According to analysts, the risk of 2-digit inflation extending
\ninto 2023, as well as the new revised estimates regarding the Eurozone point to
\na risk of recession.<\/p>\n
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NATURAL
\nGAS An EU-wide 15% reduction of natural gas consumption will come into force
\nearly next week, the Czech presidency of the EU Council announced. The
\nregulation was adopted officially, and the text will be published in the
\nOfficial Journal on Monday and will take effect the next day. The president of
\nthe European Commission, Ursula von der Leyen, called on member states to
\nprepare for the worst-case scenario of Russia suspending gas supplies. Member
\nstates must also secure 80% of their winter needs ahead of time.<\/p>\n
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COVID-19 Over 6,400 new COVID-19 cases were confirmed on Saturday in
\nRomania. More than 3,800 patients are hospitalised, nearly 260 of whom in ICUs,
\nand 28 Covid-related deaths were reported.Since
\nthe start of the pandemic, nearly 66,200 people have died of COVID-19 in
\nRom\u00e2nia. <\/p>\n
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UNTOLD Cluj Napoca, north-western Romania, is hosting the most eagerly
\nawaited music festival this summer, Untold. The event takes place on several
\nstages, with over 200 Romanian and foreign artists, as well as the world’s best
\nDJs, performing until Sunday night. This year’s theme of the festival is Temple
\nof Luna, an artistic concept that highlights the mythological side of
\nTransylvania, seen as a land of the night and magic. Scores of stands sell
\nfood, drinks, clothing and gadgets. The organisers expect over 400,000 people
\nto attend this year’s edition. <\/p><\/p>\n","protected":false},"excerpt":{"rendered":"
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