The Week in Review 12-18 May
A roundup of the main headline-making events in the past week
Roxana Vasile, 17.05.2025, 14:00
Romanians are voting for their president
Romania’s presidential runoff kicked off on Thursday night, 22 hours local time, with the opening of the first polling station in Auckland, New Zealand. The Romanians living abroad are going to cast their ballots on three days, May 16, 17 and 18. In the 965 polling stations opened in various countries abroad, the Romanians present in the area can cast their ballots on the aforementioned days whether they reside in that country or not. At the same time, the Romanian voters abroad have the possibility of expressing their election option through the postal voting. However, their number is small – only 6,085 out of the total 6,496 applications have met the legal requirements.
On the Romanian territory, the presidential runoff will be taking place on one day only, Sunday, May 18, when 18,979 polling stations are waiting for the voters. According to the Permanent Election Authority, 87 accredited foreign journalists and 159 international observers will be monitoring the presidential runoff, which is pitching the two main candidates who won the first round, namely the sovereignist and leader of the AUR party and the independent candidate and incumbent mayor of Bucharest, Nicusor Dan.
Financial markets under economic and election specters
Romania is in need of a responsible government a.s.a.p as well as of reforms for reestablishing the macro-economic balance, which has for quite some time been precarious. This is the economic pundits’ conclusion after the latest turbulences on the financial markets. Whether after the first round of the presidential election, on May 4, these had a strong reaction over the uncertainties regarding the economic developments and the present economic life, the situation seems to have calmed down this week. The exchange rate of the national currency has stabilized after a sudden and significant appreciation of the Euro. Interbank interests have also stabilized and even gone down one notch, although their levels are still high.
The Stock Exchange fluctuations have also reduced, though its volatility remains high. Not so good news from the consumption market, which sees rising prices and an inflation rate, which seems to resume its upward trend in the following period. The inflation rate is expected to go down later this summer. Romania’s GDP stagnated in the first quarter of the year as compared to last year, registering a modest growth of only 0.2%. Foreign direct investment dropped by more than 30% in the first quarter of this year, a 6.5% drop as compared to the similar period of 2024. Analysts do not rule out the possibility that Romania may witness a slight recession this year and for this reason they believe that increased fund absorption and attracting foreign investment must remain top priorities.
Romania and PNRR
Finance Minister, Tánczos Barna, has announced from Brussels that in June Romania is going to receive 1.3 billion Euros worth of the third installment part of the National Plan of Recovery and Resilience. According to him, this major funding is important to regain the balance of the state budget. However, the sum is only half the country should have got, as the Executive failed to implement all the reforms it pledged within the PNRR. Bucharest has applied for an amended plan, and after the talks in this respect, the country’s Minister of European Funds, Marcel Boloș, held with European Commissions representatives, the file is expected to be again submitted to the Council, a procedure to be followed by all the countries, which share Romania’s situation. “Only after the official green-light to the amended plan, will we be able to apply for a new payment request with the Commission, a restructured payment request to include updated reforms and investment. It is essential the renegotiating process be concluded by the end of this month”, Minister Bolos says in a communiqué. Among other things, the PNRR is also about a needed fiscal reform Bucharest has pledged to implement with a view to curbing the 9% budget deficit. Romania is not the only EU country, which amends its National Plan of Recovery and Resilience, but it has so far had the lowest absorption rate.
The 2025 Long Night of Museums
The Long Night of Museums has been slated for the end of this week, namely for Saturday, May 17. Over 75 institutions, accounting for 210 museum spaces in Romania, have announced their intention to open their gates for this ample and valuable event. At the same time an impressive number of experts in the field of patrimony and museum education have prepared roughly 799 cultural-educational activities targeting all categories, from the youngest visitors up to a mature audience made up of history, art, science and tradition enthusiasts. A special attention has this year been attached to museum workers, professionals, who, with passion and commitment, are taking care of the common patrimony on a daily basis.
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