Romania’s near-term economic growth will remain behind that of peers with same rating in other regions due to its exposure to Europe’s economy, while another constraint is its exposure to the global financial volatility due to the reliance on external financing to fund government spending and to private investment needs, Moody’s writes in an annual credit report.
Romania's Baa3/negative government bond rating incorporates the fiscal consolidation achieved over the last two years, but remains constrained by the economy's recent subdued growth performance and outlook. The negative outlook reflects the low GDP growth and the government's relatively high annual debt-refinancing needs that makes the country vulnerable to the uncertain global financial conditions.
Key issues considered by Moody’s regarding improving the country’s outlook to neutral or downgrading it are i. the fiscal consolidation process ii. the GDP growth and iii. the current trends in banks' asset quality and credit growth.
Romania’s Chamber of Deputies endorsed the controversial Code of criminal prosecution procedures on June 18, by 178 votes to 75 and one abstention. The bill was passed late in the night ... more
Romania’s Directorate for Investigating Organised Crime and Terrorism (DIICOT) raided on May 30 the offices and two plants of Austrian wood processing company Holzindustrie Schweighofer, local ... more
The European Commission, in the country-specific recommendation sent on May 23 to the ... more