Press Review - January 17, 2019

01.17.2019 By Oana Gavrila

Leu Hits New Low vs Euro

The Romanian leu hit a new low against the euro Wednesday, standing at  4.6830 units to euro at midday, losing 0.02% from Tuesday's midday rate.

On Tuesday, the leu stood at an average 4.6822 units/euro, down 0.11% from 4.6771 units per euro on Monday. 

There-Month Money Market Rate Drops Wednesday

The three-month money market interest rate dropped to 2.87% Wednesday, the lowest level since June 2018, central bank data showed.

The three-month rate is the main indicator for the calculation of variable interest rates on loans in lei.

The index dropped to 2.89% on Tuesday.

Iohannis: Romania Lacks State Budget Due to Government Incompetence

Romanian President Klaus Iohannis said the country doesn't yet have a state budget for 2019 due to the government's inability to draft a sustainable budget.

Iohannis said the minister for the business environment, Stefan-Radu Oprea, was lying when he said the 2019 state budget draft was being delayed over a lack of approval from the country's supreme defense council, which the president heads.

The defense council met on December 19, 2018 and approved budget proposals for institutions with attributions pertaining to national security.

Constitutional Court Admits Parliament-Public Ministry Conflict On Subject Of Secret Protocols

Romania’s Constitutional Court decided on Wednesday that there is a constitutional conflict between the Parliament and the Public Ministry regarding secret service-judiciary collaboration protocols, judicial sources told MEDIAFAX.

The protocols in question regulated judicial cooperation between Romanian secret services and top judicial bodies – including the National Anticorruption Directorate and the General Prosecutor’s Office - on matters of national security.

The decision comes after several delays and could represent more grounds to dismiss evidence gathered on the basis of collaboration protocols.

The Constitutional Court said courts and prosecutors’ offices will be the ones to decide whether cases built on evidence gathered through the protocols observed legal provisions. This will only affect currently pending cases and not those in which a final decision was reached.

Seven Million Romanians at Risk of Poverty

Although the number of people in Romania risking poverty and social exclusion has decreased in 2007-2017, it is still high, said Luminita Chivu, general director of the National Institute for Economic Research.

In 2007 Romania had 9.94 million people at risk of poverty and by 2017 the number dropped to 7.04 million.

Romania's has the second highest largest number of people at risk of poverty in the EU, with 35.7% of the population at risk of poverty. Bulgaria has the highest share, with 38.9% of the population at risk.