The Week in Review (2- 8 October 2016)

A look at the main events in Romania this week

România Internațional, 08.10.2016, 12:45

A new university year in Romania

A new university year started in Romania on October 3rd. There are lots of new changes this year, including the introduction of more than 30 new specialisations and degrees and 64 new post-graduate programmes. Despite the fact that the number of specialisations has grown, the number of students has decreased, a trend noticeable in recent years. Only around 40,000 young people begin their studies in state universities this year, according to the education ministry. In total, the number of students in state universities stands at 480,000 this year, compared to 900,000 ten years ago. Explanations for this drop include the low success rate of the Romanian Baccalaureate exam, a lower birth rate and the fact that an increasing number of high school graduates choose to study abroad. Another novelty this year is that all doctoral schools have received temporary certification following an order by the education minister.

EU Commissioner for Regional Policy Corina Cretu paid a visit to Bucharest

EU Commissioner for Regional Policy Corina Cretu, who has recently paid a visit to Bucharest, has talked, among other things, about sustainable urban development and the role of European funds. The EU official has warned that many cities across Romania, including the capital city, are reporting delays in the process of absorbing EU funds for development. Romania, Corina Cretu argues, needs experts to implement EU-funded projects that should make more jobs available. Some 36 county seats will be able to access 1,2 billion euros worth of development funds, Corina Cretu also said, urging Romanian authorities to submit projects and feasibility studies to Brussels as soon as possible.

The IMF makes optimistic predictions for Romania

This year, Romania will register the highest economic growth rate in Europe: 4.9%. This optimistic estimate was made by the International Monetary Fund, which upgraded its forecast regarding Romania’s economic development this year to 5%. The IMF warns that the economic growth peak that Romania registered in 2016 will be followed in 2017 by a slowdown expected to reach 3.8%. But even so, next year the country will report the highest economic growth rate in Europe. The IMF has also upgraded the forecasts regarding the current account deficit in 2016, from 1.7% in April to 2%. The deficit will grow next year, to reach an estimated 2.8%. As regards the unemployment rate, the IMF has maintained the forecast of 6.4% for this year, and 6.2% for next year.

Sentence delivered in the infamous Microsoft case

The sentence in the Microsoft case, dubbed by the Romanian media as one of the most spectacular in the judiciary history of post-Communist Romania, has been delivered. Two well-known business people, Dorin Cocos and Nicolae Dumitru, the former Communications Minister Gabriel Sandu and the former mayor of Piatra-Neamt Gheorghe Stefan have received, in total, 14 years in prison. Also, the High Court has decided to seize more than 17 million Euros from the four. According to the National Anticorruption Directorate, in April 2004, the renting contract for Microsoft licenses was concluded in onerous conditions for the state budget and allowed the payment of significant commissions to those involved. A bribe of 60 million Euros and a damage to the state budget of 27 million Euros were the main accusations.

Michel Barnier, the European Commissions Chief Negotiator for Brexit, has visited Romania

Bucharest wants the Brexit negotiations to be conducted so as to include all parties involved and to reflect the common vision of all the 27 members and of the European institutions regarding the items under negotiation. This is the message conveyed by Dacian Ciolos during the meeting with the European Commissions Chief Negotiator for Brexit, Michel Barnier. Barnier, who officially took over this position on October 1st, wants to hear the opinions of all the 27 member states concerning Brexit. Negotiations are due to start in 2017 after London activates article 50 of the Lisbon Treaty, regulating the exit from the EU. There are several major issues that the sides have to agree on, such as the access to the single market, and the access to the British labour market. Referring to this last issue, Romania has already announced that it will make no compromise.

Bucharest hosted the Diaspora Business Summit

Romania must capitalize on the opportunities offered by the existence of a strong Diaspora and the Romanian business people abroad are invited to invest in the country. This is the message conveyed by both President Klaus Iohannis and PM Dacian Ciolos at the Diaspora Business Summit – Together for Romania, staged in Bucharest. The summit brought together Romanian business people and entrepreneurs from the country and abroad with a view to creating opportunities for business and investment in Romania. According to the study Romanians in the Diaspora, conducted by Open-I Research late last year, 62% of the Romanians interviewed said they wanted to invest in Romania, in sectors like tourism and agriculture in particular.

Romania will be the guest of honour of the 27th edition of the Europalia International Arts Festival in Belgium. The event, held every two years, showcases the key elements of a country’s cultural heritage. From October 2019 until January 2020, in Brussels and other cities, the Festival will bring to the fore various forms of Romanian art: music, fine arts, theatre, cinema, dance, literature, architecture, design, fashion and gastronomy. The memorandum of understanding on the organisation of Europalia Romania Festival, signed on Tuesday in Bucharest, paves the way for this series of events. According to national authorities, this is a major opportunity for Romania to promote its cultural heritage, its traditions, creative industries and cultural potential.