Matthias's Feed
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.

Apr 3, 2014

Bulgaria says no long term threat to South Stream pipeline

SOFIA, April 3 (Reuters) – The standoff between the West and
Russia over Ukraine may temporarily disrupt building the South
Stream gas pipeline, but there is no long term threat to the
project for now, Bulgaria’s foreign minister said on Thursday.

The future of the 2400 km (1,490 mile) line from Russia via
the Black Sea to Europe, avoiding Ukraine, has been cast into
doubt after Russia’s annexation of Crimea. Bulgaria, almost
entirely dependent on Russian energy supplies, would be a major
beneficiary of the pipeline.

Apr 1, 2014

Exclusive: Bulgarian nationalists may topple government over Russia sanctions

SOFIA (Reuters) – Bulgaria’s nationalist Attack party will work to topple the government if Sofia backs a new round of Western sanctions against Russia over its annexation of Crimea, the party’s leader told Reuters in an interview on Tuesday.

Attack holds the balance of power in the Bulgarian parliament, and its threat is an extreme example of the domestic pressures European governments face in taking a position on the worst crisis in East-West relations since the Cold War.

Feb 26, 2014

Romanian leaders reassure investors as government splits

BUCHAREST (Reuters) – Romania’s president and prime minister said they were still committed to reforms agreed with the International Monetary Fund on Wednesday, after a split in the ruling coalition threatened the IMF deal and worried investors.

After a weeks-long standoff with the government, President Traian Basescu abruptly threw his weight behind the latest review of a 4 billion-euro aid agreement that is key to the credibility of the European Union’s second-poorest state.