Mobile & PDA
BNR Exchange Rates27.03.2017
- 1 EUR 4.5500 RON
- 1 USD 4.1870 RON
- 1 CHF 4.2529 RON
- 1 GBP 5.2686 RON
- 1 gr. aur169.3164 RON
IMF on the hotspotUpdated: 07-04-2010 | International
Implications the Fund has fuelled the crisis are an exaggeration, Romanian economists think. The financial institution clearly denies allegations.
Czech central bank Vice-Governor Mojmir Hampl recently said the International Monetary Fund (IMF) fuelled the economic crisis in emerging Europe last year in order to create the sort of situation that would make states in the region seek its assistance. His position has generated endless controversy. According to Hotnews.ro, Romanian economy professor Bogdan Glavan says the IMF is not interested to uproot the causes of economic shortcomings because that would make it redundant.
"Balancing a budget by increasing taxes has a negative effect on the economy. The IMF is fundamentally acting as an endorser for Western banks (lender of last resort) in relations with emerging markets," he explained. On the other hand, PM Boc's economic adviser Andreea Paul Vass says the Czech vice-governor had exaggerated. "First of all, the IMF arranged meetings of main lending banks in Eastern Europe at least two times, asking them not to lower exposures in Eastern states. In general terms, the banks have kept their promise. We have not perceived the allegations levelled against the IMF," Vass said. She added the IMF had not intervened in the US, Germany or the UK - countries that suffered the biggest loss from trading toxic financial assets.
The IMF has acted in countries that have taken up too much debt and needed additional support in securing external equilibrium. Romania is such an example, with a short-term foreign debt of almost EUR 20 bln created by the privately-owned sector, at the end of 2008. As a matter of fact, Romanian central bank Governor Mugur Isarescu has recently said in a presentation delivered in Barcelona that, if Romania had not received the external loan from the IMF and the EU, it would have faced an exchange rate crisis.
In the meanwhile, the Deputy Director of the IMF International Relations Department, Gerry Rice, says in a letter to 'Der Standard' that Hampl's claims were 'in contradiction with the actual situation, while also defying common sense and discernment of the international community'. Czech central bank Governor Zdenek Tuma noted that Hampl's remarks were 'personal views' not representing the official position of the bank.
- Insurance market stagnated in 2013 while GDP chare dropped to 1.3%
- The Romanian Leasing Market as of December 31, 2013
- Millennium Bank reports best results since its launch, helped by stronger banking income and cost cuts
- BCR cheapens First Home loans and lowers interest loans for loans in lei
- Millennium Bank's new Salary account clients receive up to 600 lei bonus and their utility bills' payment
- GarantiBank and Seamless introduce SEQR in Romania: the newest mobile payment solution
- Bancpost telecom services, now provided exclusively by Romtelecom and COSMOTE Romania
- Millennium Bank cards offer discounts in Domo stores
- BCR Supervisory Board reshuffles Management Board
- NBR decide to lower the monetary policy rate to 4.25 percent per annum
- Common appointments in Romtelecom and COSMOTE Romania
- Up to 5.5% annual interest rate for Millennium Bank's promotional three-month lei deposit
- Eurozone in recovery mode but gap between North and South still widening
- UniCredit Tiriac Bank and RBS Romania announce the successful completion of the retail clients' migration
- Millennium Bank grants First House loans in lei
Most Popular News
- Three billion euros to be invested in energy private-public partnerships
- Romanian state plans to keep 8 pct of Petrom, at least
- IMF mission extends stay in Romania till May 9
- IMF, FinMin Vladescu discuss Government revenues collection
- Videanu admits that he is in conflict of interests in connection to Marmosim
- Greece gets 110 billion euros, biggest bailout in history
- BNR governor Mugur Isarescu: Situation is quite complicated
- Romanian-German meeting on fresh cooperation opportunities
- Gov't to earmark 6.4pc of GDP for investment
- FinMin Vladescu: Cutting 25pc off public wages pool will not generate needed savings