Matthias's Feed
Jul 4, 2014

Accusations fly in Bulgaria’s murky bank run

SOFIA, July 4 (Reuters) – One worker at Bulgaria’s Corporate
Commercial Bank knew panic was setting in when she
spotted colleagues among the anxious depositors lined up to
withdraw cash from the troubled bank.

The alarm came in part because the week before, on June 13,
with television news crews filming, Bulgarian state prosecutors
had raided a building in Sofia that housed Corpbank offices.

Jun 24, 2014

Bulgaria PM signals Corpbank to be nationalised by July

SOFIA, June 24 (Reuters) – Shareholders are unlikely to
rescue Bulgaria’s Corporate Commercial Bank (Corpbank), Prime
Minister Plamen Oresharski said on Tuesday, the strongest signal
yet the country’s fourth- largest lender will be nationalised by
July.

Customers rushed to withdraw money from Corpbank last week
after media reports of suspect deals involving the bank. The
country’s central bank took control of Corpbank, froze its
operations and started rescue talks.

Jun 23, 2014

Bulgaria to nationalise Corpbank if shareholder talks fail

SOFIA, June 23 (Reuters) – Bulgaria will nationalise
Corporate Commercial Bank (Corpbank) by July 21 if
shareholders fail to provide the country’s fourth-largest lender
with the funding it needs after a run on deposits, the finance
minister said on Monday.

Customers unnerved by media reports of suspect deals
involving Corpbank and its top shareholder queued to withdraw
their money last week, prompting the central bank to take
control of the bank, freeze its operations and order an audit of
its books.

Jun 22, 2014

Bulgaria ready to rescue Corpbank after bank run

SOFIA, June 22 (Reuters) – Bulgaria is ready to rescue
Corporate Commercial Bank (Corpbank) by injecting capital and
enforcing losses on shareholders, the central bank said on
Sunday, after a run on the country’s No. 4 lender prompted the
central bank to take it over on Friday.

The central bank said the government was also prepared to
inject capital into a subsidiary that Sofia-listed Corpbank
recently bought from France’s Credit Agricole
and which has been taken over by the central bank as well.

Jun 20, 2014

Run on Corpbank prompts Bulgarian central bank to seize control

SOFIA, June 20 (Reuters) – A run on Corporate Commercial
Bank (Corpbank) prompted Bulgaria’s central bank to
take control of the country’s fourth-largest lender on Friday
and its governor appealed to depositors to stay calm.

The Bulgarian National Bank (BNB) said it would handle
Corpbank’s operations for three months and removed its
management and supervisory board after the run, which was
sparked by media reports of shady deals involving the bank.

Jun 18, 2014

Bulgaria’s likely next PM says will build South Stream only if EU happy

SOFIA (Reuters) – Bulgaria must push ahead with the Russian-backed South Stream gas pipeline project only if it complies with all European Union laws, opposition leader Boiko Borisov, the front-runner to be the next prime minister, told Reuters on Wednesday.

Borisov said that should he form the next government after early elections, he will also exclude any company from bidding to build the project if it is subject to sanctions imposed by the United States or EU over the Ukraine conflict.

May 28, 2014

EU’s Balkan citizens take anti-immigrant vote in their stride

BUCHAREST (Reuters) – Britons have a right to worry if Romanians move in next door, or so says the man who triumphed in European Parliament elections. But despite such hostility, Romanians themselves still cherish the European Union as their best chance of escaping poverty.

Some fear a deepening demonization of immigrants from Romania and neighboring Bulgaria following last weekend’s victories of right-wing Eurosceptic parties in France, Denmark and Britain, where the UK Independence Party of Nigel Farage trounced the established parties.

May 7, 2014

Bulgarian car parts boom brings hope to EU’s poorest state

RUSE Bulgaria (Reuters) – In its glory days, Ruse, a town along the Danube river trading route, was a thriving economic hub that was home to Bulgaria’s first chamber of commerce and known as ‘little Vienna’ for its Austrian-style buildings.

A hundred years on and after decades economic decline under Communism, its location on the southeastern edge of Europe, near Turkey and bordering Romania, is helping attract investors such as Witte Automotive, a German car part maker that supplies majors including Ford.

Apr 10, 2014

Bulgaria torn between old friends and new partners over Crimea

SOFIA, April 10 (Reuters) – Georgi Kadiev is, like many of
his fellow Bulgarians, caught between Russia and the West.

A member of parliament with the ruling Socialist party, his
government has gone along with sanctions on Moscow over its
annexation of Crimea, but at the same time he feels the cultural
and historical pull of Bulgaria’s long association with Russia.

Apr 7, 2014

Romania readies tax cuts to spur economy

BUCHAREST (Reuters) – Romania will scrap the tax on profits that companies reinvest in the country and cut some other levies to help create jobs and secure economic growth of around 3 percent this year, the finance minister said on Monday.

The government will also reduce firms’ social security payments by 5 percentage points, slash value-added tax on certain foods and, once it can afford to, introduce a lower income tax rate for low earners, Ioana Petrescu told Reuters in an interview.