ECONOMY
-Austrian banking giant Erste Group, the owner of Romanian universal bank Banca Comerciala Romana (BCR), lowered its full-year economic growth forecast for Romania to 0.8%, down from its previous estimate of 1.9%. It maintained its 2025 growth forecast at 2.8% “although risks lean to the downside, depending on fiscal measures likely to be introduced at the start of 2025” it said in its report.
-The European Commission revised its forecast for Romania’s economic growth in 2024 to 1.4%, down from 3.3% estimated in the spring. This Autumn Forecast projects real GDP growth in 2024 at 0.9% in the EU and 0.8% in the euro area. For the EU, this is 0.1 pps. lower with respect to spring, while it is unchanged for the euro area.
FINANCE
-Romania’s Ministry of Finance on Friday (Nov. 15) raised 10 million RON from banks, in addition to Thursday’s auction, when it attracted 500 million RON through benchmark government bond issues at an average annual yield of 6.87%.
-The 3-month ROBOR index, according to which the cost of consumer loans in lei with variable interest is calculated, on Friday (Nov. 15) climbed to 5.58% from 5.56% on Thursday.
-Credit rating agency Moody’s affirmed the Baa2 long- and short-term deposit ratings and the Baa3 long- and short-term issuer ratings of Romania’s largest lender Banca Transilvania S.A. (TLV.RO). The outlook on the long-term deposit and issuer ratings was changed to positive from stable.
REAL ESTATE
In January-September 2024, the demand for logistics and industrial spaces stood at 575,000 square meters, down 20% compared to the same period of 2023, according to Cushman & Wakefield Echinox.
COMPANIES
-Romgaz, Romania’s largest producer and main supplier of natural gas will list its first bond issue, worth EUR 500 million on the Bucharest Stock Exchange on Nov. 19.
-State-backed Romanian power producer Hidroelectrica and the largest company listed on the Bucharest Stock Exchange, ended the first nine months of 2024 with a net profit of RON3.5 billion, down 32% on an annual basis, according to its financial report.
-Conpet Ploiesti, Romania’s national oil transporter by rail, reported a turnover of RON401.8 million for the first nine months of 2024, up 10% compared to the same period in 2023.
-Pharmaceutical company Antibiotice Iasi, which is one of the largest drug producing company in Romania, posted RON511 million revenues in the first nine months of 2024, up 15% on an annual basis, while net profit increased by 15% to RON88 million.
-National Gas Transmission Company TRANSGAZ net profit stood at RON144.2 million in 9M 2024, up 273% compared to the same period in 2023.
-Cluj-Napoca based AROBS Transilvania Software, the largest technology company listed on the Bucharest Stock Exchange, posted consolidated revenue of RON306.2 million in 9M 2024 down 5% on an annual basis and a net profit of RON16.1 million, down 42%.
-Premier Energy, one of Romania’s largest natural gas suppliers, posted RON4 billion revenue in 9M 2024, up 25% y-o-y, and a net profit of RON311 million, down 57.6%.
TODAY’S MARKET DATA
EXCHANGE RATE OF THE NATIONAL LEU CURRENCY
| EUR 4.9765 | GBP 5.9660 |
| USD 4.7057 | CHF 5.3012 |
| BGN 2.5444 | MDL 0.2615 |
(Source: National Bank of Romania BNR)
BUCHAREST STOCK EXCHANGE (BVB) INDICES
| BET % -0.20% BET-TR -0.20% BET-FI 0.43% BET-NG -0.34% BET-EF -0.25% BET-XT -0.15%, BET-BK -0.26% BET AeRO 0.82% ROTX -0.20% |
CAPITAL MARKET COMMENTARY
| Bucharest stocks traded in the red on Friday mirroring the trend across Europe where markets closed the trading session with losses as investors digested the latest economic data in the region. Concerns about the outlook for U.S. interest rate cuts following Federal Reserve Chair Jerome Powell’s hawkish comments and disappointing economic data from China weighed as well. |
BET INDEX CONSTITUENTS COMPANY PRICE CHANGE (%)
| ANTIBIOTICE S.A. | 3.2600 | -0.31 |
| AQUILA PART PROD COM | 1.3900 | -0.36 |
| BANCA TRANSILVANIA S.A. | 29.1500 | 0.00 |
| BRD – GROUPE SOCIETE GENERALE S.A. | 19.2000 | 0.00 |
| C.N.T.E.E. TRANSELECTRICA | 43.9000 | -0.11 |
| Digi Communications N.V. | 67.8000 | 1.50 |
| FONDUL PROPRIETATEA | 0.3378 | -0.65 |
| MedLife S.A. | 6.1500 | 0.00 |
| OMV PETROM S.A. | 0.7415 | -0.47 |
| ONE UNITED PROPERTIES | 0.5200 | -1.70 |
| Premier Energy PLC | 19.7200 | 0.00 |
| PURCARI WINERIES PUBLIC COMPANY LIMITED | 14.8800 | -0.13 |
| S.N. NUCLEARELECTRICA S.A. | 43.0000 | -2.27 |
| S.N.G.N. ROMGAZ S.A. | 5.4900 | -1.08 |
| S.N.T.G.N. TRANSGAZ S.A. | 24.0000 | 0.00 |
| S.P.E.E.H. HIDROELECTRICA S.A. | 122.0000 | 0.66 |
| SOCIETATEA ENERGETICA ELECTRICA S.A. | 13.0800 | -0.91 |
| Sphera Franchise Group | 41.0000 | 0.49 |
| TERAPLAST SA | 0.4630 | -0.64 |
| TTS (TRANSPORT TRADE SERVICES) | 6.1500 | -0.65 |
