Romania business review, Jan 23 - 30, 2013: Falling growth estimates, infrastructure ups and downs, Oltchim insolvency
Some GDP growth predictions for Romania in the last week. The Government revised down the official estimate to 1.6 percent while local bank BCR predicted 1.1 percent growth for 2013.
Bucharest's airports recorded a 1.3 percent rise in passenger numbers to reach 7.5 million in 2012. During the last year, budget airline services were transferred from Baneasa to the main Otopeni airport.
The Fondul Proprietatea announced that the fund has attracted the largest ever foreign investment to Romania's capital market since its listing – three quarters of a billion euros.
There was potentially bad news for Romania's small businesses with the announcement of a new mandatory income tax. Differing fortunes for state-owned companies – the Romanian Post secured a EUR 22 million loan, but Metrorex suffered a huge funding slash to the budget for the new metro line 5 currently under construction.
More infrastructure developments with the announcement of a EUR 30 million investment in upgrading work at Constanta airport.
On the companies side, there were some important local developments. Romanian pharmaceutical company Antibiotice Iasi announced new exports to the US following FDA approval and Italian firm De'Longhi said production at the Jucu plant in County Cluj would start in February.
Finally, a step was taken towards meeting the IMF's demands when a court ruled that state-owned chemical factory Oltchim could enter insolvency.
Top business stories of the last week below.
Government revises down Romania's growth estimates for 2012, 2013 and beyond
BCR gives latest growth prediction for Romania - 1.1% in 2013
Nearly 7.5 million passengers use Bucharest's airports in 2012, 1.3% rise on 2011
Foreign investments of EUR 750 mln in Romania's Fondul Proprietatea since stock exchange listing
New mandatory income tax for small Romanian companies may lead to bankruptcy
Four banks lend EUR 22 mln to state-owned Romanian Post to bolster its work capital
Huge funding cuts and 4-year delay for Bucharest’s new metro line 5
Constanta airport in Romania to commission EUR 30 mln revamping work
Romanian drug company expands US exports after FDA green light
Italian De’Longhi to start production in Romania mid-February
Romanian court green-lights chemical producer Oltchim’s insolvency
editor@romania-insider.com
