Romania’s central bank sees the end-year headline inflation at 3.1% y/y and also forecasts that the annual inflation would remain within the 1.5%-3.5% targeted band for the two-year horizon envisaged, its latest Quarterly Inflation Report shows. It is the second consecutive downward adjustment of the forecasts issued on a quarterly basis by the central bank.
The previous forecasts for the year-end inflation were 3.2% y/y [May] and 3.5% [February]. The latest adjustment is not of a wide magnitude, but it adds to another messages of the central bank [including the deeper-than-expected 50bps interest rate cut earlier this month] aimed at enhancing the disinflationary expectations.
The disinflation might be actually stronger in the coming months, the central bank explains. In the near run, the inflation rate may fall lower than projected, in view of the incoming information after the macroeconomic forecast was completed and therefore left out of the baseline scenario.
A special mentioning deserve the signals on domestic bumper crops of volatile food items (VFE) and of some raw materials for processed foodstuffs, as well as the government’s announcement on cutting the VAT rate applied to flour and bread as of September 1, 2013.
The largest bank in Moldova, Moldova Agroind Bank (main), announced it is postponing its plan to list on the Bucharest Stock Exchange (BVB) because certain provisions in Moldovan legislation make the ... more
Banca Transilvania, the leading financial group in Romania by assets, has reportedly reached the stage of agreeing technical and legal details for the takeover of BRD Pensii division from BRD-SocGen, ... more
Romania’s largest financial group by assets, Banca Transilvania (BVB: TLV), announced that it had signed a contract ... more