The tricky lag

Lucian Croitoru, Adviser on monetary policy issues to the National Bank of Romania Governor, talks about the NBR’s next moves and explains why the decrease ofthe policy rate hasn’t been reflected into lower interest rates on bank loans.

The turnaround

Cristian Sporis, Secretary of State at the Ministry of Public Finance, in charge with the national treasury and public debt, explains how the state managed to borrow money at the lowest costs in the last seven years and how it turned from a clear market taker into a player with a strong position on the market.

Banks eye agriculture

There is still much to do in the rural area, where access to the banking products can increase substantially, both in terms of financing and of current operations, remote banking, etc.

European funds absorption, a brief overview

The “effective” absorption rate grew to a mere 6.3% at end-March 2012, while the “gross” absorption rate stood at 16.2%. However, contracted projects rate stood at a healthy 67.5% and the approved projects rate at 77%!

Perspectivele pietei asigurarilor din Romania in 2012

2012 va fi inca un an dificil pentru asigurari in Romania si nu numai. Reprezentantii celor mai importanti jucatori din piata mizeaza pe stagnare ca si scenariu de baza, respectiv crestere modesta (1-2%) ca scenariu optimist.

There is going to be a second wave of the crisis due to even stricter lending behaviour from banks side

The sovereign debts will impact the global economy many years from now and this is not something that will be resolved and/or assimilated easily in the future.

2012 looks austere, with little or no top line growth and general cost cutting on the horizon

I think there will be many waves of crisis, at least until we figure out a solution to the petrol problem, and therefore the biggest challenge we have in business is sustainability: how to run our businesses better with less resources?

Always plan two-three steps ahead, and also for tail-of-distribution scenarios

We all tend to be slightly biased when it comes to the impact of international conditions on our local market: "it will never happen here" / "it will not happen to that extent" / "we are different". It is good to be aware of that bias and consciously compensate for it.

Mai mult decat in agricultura si turism, in noua economie Romania trebuie sa concureze in energie regenerabila, tehnologie si productie

Capacitatea reala de a atrage investitori inseamna o economie diversificata, cu oportunitati competitive in tehnologie, energie regenerabila si productie, pentru ca aici sunt directionate cu prioritate fluxurile de capital.

You have to have a direct contact with the market, to understand who the serious people are, and not just the most visible people in the market

Our work is about making an impact on the very bottom line of the corporate client‘s balance sheet and about a long term relationship, and not a ‘hit and run‘ one. We are not a machinery of storing and distributing CVs of individuals.

The right time for investments

In less than one and a half years, Cora doubled the number of stores in its chain on the Romanian market that already reached eight stores. For the next two years, the speed in expansion is to remain high, considering the budget dedicated: EUR 180 mn. Why this is the right time for investments explains Philippe Lejeune, General Manager of Cora Romania.

Afacerile din ziua de azi se deruleaza intr-o piata globala unde nu mai tinem cont de limita granitelor

Indiferent de tipul de afacere antreprenorul trebuie sa demonstreze ca idea lui este productiva, nu este relevanta asa de mult proiectia financiara, ma refer la veniturile estimate, deoarece oricum vor fi gresite, dar cel mai important este sa demonstreze ca poate crea tractiune pentru ceea ce face.

The pharmacies remain the most affected players in 2011 being the most exposed to bankruptcy

The legislative instability, the cash crisis in the system and the long payment terms are the major risks for the  pharmaceutical industry.

This year, we’ll help more SMEs to increase productivity, to reduce costs and their impact on the environment.

Starting with the third quarter of 2010, there are signs of recovery, although investments are made very  carefully/reluctantly and expectations are high, as companies are looking to be more efficient and productive.

The important thing is to think medium and long term.

Too much enthusiasm and optimism has to be held back at this moment since companies didn’t take into account the real economic situation of the population.

The whole world has changed, and it will not get back any time soon!

2010 has been less than one fifth of 2008 level, and the current perspective has not significantly changed.

In all our activities we consider all factors, even the apparently impossible

We continue to dedicate ourselves to innovation and creating new car financing solutions, to better suit our clients’  needs.

Taking into account the positive signals, our main focus is to consolidate our position on the market

The financial crisis had a general impact on the automotive market and on the way clients approach the idea of purchase. It is a fact that during that time customers delayed their buying decisions.

We have redesigned our processes and our systems to reflect the proactive approach

We all should not and ought not to forget the fact that we have all been given the lessons that this crisis has delivered to us: growth for the sake of growth is toxic.

Predictability in legislation and a growth of the purchasing power could represent opportunities for our business

Cigarettes in Romania are among the most expensive ones in Europe, in comparison with the Net Disposable Income.

We didn’t have major operational changes because of the crisis – we continued to focus on the quality and great guest experiences

Comparing with the pre-crisis time, the crisis reduced the average rates significantly. Lower star categories benefited from it due to the reduced travel budgets.

People want the explanations and information they receive to be clear, simple and transparent

The financial and economic crisis changed, sometimes radically, both the general economic context in which we operate and the way people think and behave.

The merger of our sales companies for electricity and gas will allow us to offer crossselling products adjusted to the need of our customers

For now, it is a good sign that something is happening in order to solve the unbearable situation in the gas supply business but more has to be done to have a competitive energy market in Romania.

A main challenge is the low level of political predictability

Fund and portfolio management business will enter a new phase in its life cycle, a major step towards maturity.