Profile picture for user andreich
Andrei Chirileasa
Editor-in-Chief

Andrei studied finance at the Bucharest Academy of Economic Studies and started his journalism career in 2004 with Ziarul Financiar, the leading financial newspaper in Romania, where he worked for ten years, the last six of which as editor of the capital markets section. He joined the Romania-Insider.com team in 2014 as editor and became Editor-in-Chief in 2016. He currently oversees the daily content published on Romania-Insider.com and likes to stay up to date with everything relevant in business, politics, and life in Romania. Andrei lives with his family in the countryside in Northern Romania, where he built their own house. In his free time, he studies horticulture and tends to his family’s garden. He enjoys foraging in the woods and long walks on the hills and valleys around his village. Email him for story ideas and interviews at andrei@romania-insider.com. 

 

Fitch: execution of National Resilience Plan is key to Romania's rating

The negative outlook for Romania's rating is still justified by the fiscal imbalances, the debt structure and the volatile political scene with a coalition with little chance of survival, Barriga Salazar, director of the debt rating agency Fitch Ratings, argued.

In October, amid the political turmoil caused by the collapse of the former centre-right coalition, Fitch affirmed Romania's sovereign long-term rating (IDR) at BBB-, keeping it at the lowest investment-grade level and maintaining the negative outlook.

The negative outlook reflects continued uncertainty regarding the implementation of policies to address structural fiscal imbalances over the medium term and the impact on Romania's public finances from lingering pandemic risks and rising energy costs, the agency said at that time.

"We do not believe that this coalition will survive throughout its term, given the rather large differences between the two main partners," the Fitch Ratings director said in an online seminar on January 26, quoted by Bloomberg, Cursdeguvernare.ro reported.

The Fitch official argued that the good news of economic growth is overshadowed by fiscal imbalances, magnified by socially-inspired social spending. Under these conditions, "meeting the national Resilience Plan (PNRR) targets has become paramount and will be important in establishing the future rating," Barriga Salazar added.

andrei@romania-insider.com

(Photo source: Shutterstock)

Normal
Profile picture for user andreich
Andrei Chirileasa
Editor-in-Chief

Andrei studied finance at the Bucharest Academy of Economic Studies and started his journalism career in 2004 with Ziarul Financiar, the leading financial newspaper in Romania, where he worked for ten years, the last six of which as editor of the capital markets section. He joined the Romania-Insider.com team in 2014 as editor and became Editor-in-Chief in 2016. He currently oversees the daily content published on Romania-Insider.com and likes to stay up to date with everything relevant in business, politics, and life in Romania. Andrei lives with his family in the countryside in Northern Romania, where he built their own house. In his free time, he studies horticulture and tends to his family’s garden. He enjoys foraging in the woods and long walks on the hills and valleys around his village. Email him for story ideas and interviews at andrei@romania-insider.com. 

 

Fitch: execution of National Resilience Plan is key to Romania's rating

The negative outlook for Romania's rating is still justified by the fiscal imbalances, the debt structure and the volatile political scene with a coalition with little chance of survival, Barriga Salazar, director of the debt rating agency Fitch Ratings, argued.

In October, amid the political turmoil caused by the collapse of the former centre-right coalition, Fitch affirmed Romania's sovereign long-term rating (IDR) at BBB-, keeping it at the lowest investment-grade level and maintaining the negative outlook.

The negative outlook reflects continued uncertainty regarding the implementation of policies to address structural fiscal imbalances over the medium term and the impact on Romania's public finances from lingering pandemic risks and rising energy costs, the agency said at that time.

"We do not believe that this coalition will survive throughout its term, given the rather large differences between the two main partners," the Fitch Ratings director said in an online seminar on January 26, quoted by Bloomberg, Cursdeguvernare.ro reported.

The Fitch official argued that the good news of economic growth is overshadowed by fiscal imbalances, magnified by socially-inspired social spending. Under these conditions, "meeting the national Resilience Plan (PNRR) targets has become paramount and will be important in establishing the future rating," Barriga Salazar added.

andrei@romania-insider.com

(Photo source: Shutterstock)

Normal
 

facebooktwitterlinkedin

1

Romania Insider Free Newsletters