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September 3, 2015 UPDATE

FISCAL CODE – Romanian deputies have voted in favour of
the new Fiscal Code, after Senators adopted the document on Tuesday. Once
promulgated by the President, the code will provide for a gradual decrease in
the VAT, down to 20% as of January next year and further to 19% in 2017. The
tax on special constructions and the additional excise on fuel will be
postponed until 2017. A tax on dividends will also apply starting this date.
The code also provides for a surcharge of all abandoned buildings and plots of
land in built-up areas starting January 2016.

Bogdan Matei, 03.09.2015, 12:15

NATO – The first NATO command on Romanian
territory has opened in Bucharest, concurrently with 5 other similar Allied
structures on NATO’s eastern flank. These centres are part of NATO’s process of
adapting to security developments. The NATO Force Integration Unit is one of
the two Allied structures that will operate in Bucharest. Its mission is to
plan operations, carry out military drills and coordinate the deployment of
NATO response forces. The new unit will employ some 42 military, of whom 27
Romanian.

MIGRATION – President Klaus Iohannis said on
Thursday, at the meeting with the Romanian ambassadors accredited abroad, that
migration continues to be a challenge at European level. He stood for boosting
efforts to fight human trafficking, to identify and implement sustainable
solutions of dialogue and cooperation with third states, so that the deep-going
causes of this scourge be eliminated. In another move, the president drew
attention to the fact that Romania will have to cope with complex challenges,
and the Romanian diplomacy will have major responsibilities in that respect. He
reiterated Romania’s support for the territorial integrity and sovereignty of
neighbouring Ukraine and underlined anew the unacceptable infringement of the
international law, by the annexation of the Crimean Peninsula, by the Russian
Federation.

DIPLOMACY – Romanian foreign minister
Bogdan Aurescu said on Thursday that Jordan is an oasis of stability in the
extremely complicated context in the Middle East and serves as a model for the
countries in the region, by promoting peace, security and stability. At a
meeting in Bucharest with his Jordanian counterpart, Naser Judeh, Aurescu has
also said that Jordan is a privileged partner of both the EU and NATO and has
hailed the efforts made by that country to solve the refugee crisis. In turn,
the Jordanian foreign minister has said his country is facing multiple
challenges. We should oppose terrorism, extremism, and educate the youth to
reject such ideas, in order not to become vulnerable to the radical movements’
propaganda, he has also said. Alongside the foreign ministers of Poland,
Slovakia and Norway, Naser Judeh is one of the special guests of the annual
meeting of the Romanian diplomacy, which is traditionally held every year, in
early autumn.

NATIONAL ANTI-CORRUPTION DIRECTORATE -
Romanian Social Democrat Prime Minister Victor Ponta on Thursday went again to the
National-Anticorruption Directorate, which has started a criminal investigation
against him, on corruption charges. Ponta said the meeting with the case
prosecutor took place at his request. On June 5th, prosecutors
started criminal investigation against Ponta, for having forged documents, for
accessory to tax evasion and money laundering. These allegations relate to his past work, as a lawyer. In the same
case, Ponta is prosecuted for conflict of interests while acting as Prime
Minister. In July, the prosecutors placed Ponta’s
assets and real estate property under sequester. The first prime minister of post-communist Romania to be
prosecuted during his term in office, Ponta rejected both the prosecutors’
accusations and the requests made by president Klaus Iohannis and the liberal
opposition to resign.

MOLDOVA – The
European Bank for Reconstruction and Development (EBRD) has reasserted its firm
commitment to support the economy of the Republic of Moldova and the
Government’s reforms, although has called on Moldovan authorities to step up
their efforts to combat the banking crisis and ensure the transparency of
stockholders in this field. Moldova cannot afford to lose another billion
dollars as it happened last year, EBRD Executive Director for Eastern Europe
and the Caucasus Francis Malige said in a meeting with Moldovan officials in
Chisinau. According to Malige, the Government’s decision to close down the
three banks involved in the mysterious loaning of 1 billion dollars to unknown
recipients at the end of last year represents a first promising step. The EBRD
official also said the country was undergoing a very difficult period, marked
by the banking crisis, the weakening of the national currency and a severe
economic slump. In order to attract more investment to generate jobs and boost
growth, Moldova urgently needs to reform its banking system and crack down on corruption, Francis Malige went on to say. The EBRD has so far invested 1
billion euros in projects aimed at supporting the private sector in the
Republic of Moldova.

NOMINATION – Romanian Prime Minister, Victor Ponta, has
nominated and supports Ioana Petrescu, his former finance minister, to take
over as vice-president of the European Investment Bank, news agencies quote
government sources as confirming on Thursday. For a year, until Romania’s
mandate expires, Petrescu is to replace Mihai Tanasescu, a former finance
minister, and Romania’s representative at the IMF in the 2007-2012 period.
Media sources in Bucharest say Tanasescu has become undesirable to the bank
management after his involvement in a huge corruption scandal related to the
purchase of Microsoft licences in Romania, for which he allegedly took a 90,000
Euro bribe.

FILM – Italian
filmmaker Adriano Valerio’s debut feature film Il Viaggio has been selected
for the Venice International Film Festival in the Settimana della critica
section. Having reached its 72nd edition, the prestigious festival will run
through September 12. The opening night will be held on September 4 and will be
attended by a Romanian delegation. Il Viaggio tells the story of three young
people facing personal crises. The female protagonist, Clara ,has just ended a
long-term love affair and is about to lose her job. Ivo is unemployed, and his
frustrations cause him to make rash decisions. The film tells the story of a
counter-migration flow, from Italy to Romania, where people seek jobs and
happiness. The film’s cast also includes Romanian actor Stefan Velniciuc. Il
Viaggio was co-produced by Italy, Bulgaria, Romania and Macedonia.

FOOTBALL – Romania’s national team will
play Hungary on Friday, in an away match, as part of the 2016 European Cup
preliminaries. On Monday, Romania will play Greece at home. After four wins and
two draws in six games, Romania is the leader of Group F, with 14 points,
followed by Northern Ireland with 13 points and Hungary with 11. The last
matches will be played in October, when Romania plays against the Faeroe
Islands, away from home, and Finland, on home turf. Romania last qualified to a
European Championship in 2008, when it did not move past the group stage. Also
on Friday, Romania’s Under-21 team will play, on home turf, in the central
Romanian city of Targu Mures, against Bulgaria, as part of the 2017 UEFA
European U-21 Championship qualifying competition. On Tuesday in Yerevan, the
young Romanian footballers will meet Armenia, which they defeated in a first
match played on home turf in March, 3-0.

RUGBY -
Romania’s national rugby team will meet Tonga’s squad in Bucharest on Saturday,
in the last test-match ahead of the Rugby World Cup due in Great Britain. Romania is part of Group D, alongside
France, Ireland, Canada and Italy. The matches of the group will start on
September the 18th. Dubbed The Oaks, the Romanian rugby players
have participated in all final tours of the World Cup, but they never moved
past the group stage.