December 7, 2022

BUDGET The finance ministry has made public the draft state budget of Romania for next year. The document is based on an estimated GDP growth of 2.8%, an 8% inflation rate, a growing number of employees and a declining 2.7% unemployment rate. The ministries set to receive less money include the energy, justice and public healthcare, whereas the defence, development, transport and education ministries will receive substantially higher budget appropriations. The ruling coalition made up of the Social Democrats, and Liberals and the Democratic Union of Ethnic Hungarians in Romania intends to endorse the draft budget tomorrow and send it to Parliament the next day, for discussion next week. 

SECURITY Romania has constantly worked to identify solutions to enhance security at the Black Sea, the Romanian foreign minister Bogdan Aurescu said in Ankara on Tuesday, when he had a meeting with his Turkish counterpart, Mervlut Cavusoglu. The two officials discussed the best avenues for cooperation, both at bilateral level and within the NATO framework. They finalised and agreed on the text of the political declaration setting up the Romania - Turkey High Level Strategic Cooperation Council, organised as a regular meeting of the two countries' governments and focusing on strategic areas of mutual interest, which will be launched in 2023. Another topic approached in the meeting was cooperation in the energy sector, recognised by both officials as a priority, particularly in light of the recent challenges. An agreement was reached to strengthen joint efforts to ensure the security of Romania's energy supplies by transiting Turkish territory. Also, the multidimensional effects of the war in Ukraine have been analysed, with special attention paid to the refugee crisis and food security.

JUSTICE The Romanian justice minister Cătălin Predoiu will take part in the meetings of the Justice and Home Affair Council and General Affairs Council of the European Union, between December 7th and 14th. According to a JHA Council news release, on the sidelines of the two meetings the justice minister will also have meetings in Brussels and Luxembourg with counterparts from other member countries and EU officials. At the JHA Council Mr. Predoiu will present Romania's position with respect to the EU judicial instruments and policies in the judiciary currently on the Council's agenda. The home affairs section of the Council is scheduled to make a decision regarding the accession of Romania, Bulgaria and Croatia to the Schengen area.

ECONOMY The GDP of the European Union saw a 0.4% growth and that of the Euro-zone a 0.3% increase in the 3rd quarter of this year compared to the previous quarter, with the most substantial growth rates reported for Ireland, Cyprus, Malta and Romania, according to data released on Wednesday by Eurostat. The economic growth rate in Ireland was 2.3%, and in Cyprus, Malta and Romania 1.3%. The most substantial decline is reported for Estonia (negative 1.8%), Latvia (negative 1.7%) and Slovenia (negative 1.4%). Among EU member countries, the most significant annual growth rate is reported for Ireland (10.6%), Croatia (5.5%), Cyprus (5.4%), Malta (5.2%), Portugal (4.9%) and Romania (4.7%), the only negative rates being reported for Estonia (negative 2.3%) and Latvia (negative 0.4%). 

OIL Global oil prices dropped to the lowest level this year, in spite of the estimates of some international experts that expected the EU and G7 ban on Russian crude and the cap on crude prices to trigger market turbulence. In Romania, the lowest petrol price is EUR 1.3, and diesel is sold for EUR 1.54. On the other hand, neighbouring Hungary is facing a fuel crisis caused, according to AFP, by the price cap introduced by Viktor Orbán's government a year ago. The fuel shortage comes in the context of a 30% decrease in imports as foreign companies cut down their sales to Hungary as a result of the price cap, the country's association of independent petrol stations said.

GAUDEAMUS The 29th edition of the 'Gaudeamus' Book Fair, organised by Radio Romania, kicked off in Bucharest today. Until Sunday, 200 participants will be exhibiting releases in various formats, addressing all age brackets and fields of interests, as well as music and educational games. 600 events have been announced in addition to various related projects. As a novelty, 2 areas have been arranged within the Fair, for interactive activities targeting the youngest visitors. Pavilions are also available online on gaudeamus.ro. The honorary president of this year's edition is the writer Ana Blandiana.

FOOTBALL In the FIFA World Cup in Qatar on Tuesday, in the round of 16, Portugal smashed Switzerland 6-1, while Morocco scored a surprising win against Spain 3-0 on penalties. In the quarter-finals on Friday, the Netherlands will be up against Argentina, and Croatia takes on Brazil, while on Saturday England will be facing defending champions France and Morocco will take on Portugal. The semis are scheduled for December 13 and 14, and the final on December 18. (AMP)