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International capital markets are going through a period of significant volatility, and the Romanian capital market has aligned itself with this trend. Rising interest rates, geopolitical tensions, and persistent inflation are some of the factors behind these fluctuations. The increase in volatility has resulted in significant spikes in liquidity on the Bucharest Stock Exchange (BVB). The trading value for all types of financial instruments increased by 67% in the first 4 months compared to the same period last year and reached RON 9.15 billion (EUR 1.85 billion). In line with international market movements, most BVB indices ended the first four months in negative territory. A positive evolution was registered by the BET-NG index, which reflects the evolution of the companies listed on the regulated market of BVB that have the main field of activity energy and related utilities. BET-NG increased by 5% in April, having the highest growth rate compared to all other BVB indices.

„The best investment in the face of inflation or volatility is the investment in education. The most frequently asked questions in the current context refer to the best types of investments in terms of an inflation rate of nearly 14% or more pronounced daily fluctuations in the capital markets. Investing in financial education offers the best long-term return for both individuals and companies. We welcome the decision of the Romanian Parliament to approve the law on withholding taxes generated by capital gains for individual investors and differentiated taxation of profits made depending on the holding period. A developed Romania needs a strong stock market with as many Romanian companies as possible and wide involvement of the population in the investment phenomenon”, said Radu Hanga, President of the Bucharest Stock Exchange.

„The energy sector, strongly represented at BVB, has a significant impact on the economy. Romania has a privileged position in this field and that is why it is essential to exploit the potential to sustainably develop this sector in order to consolidate a significant long-term competitive advantage. For the population, simplifying access to the capital market is one of the best news as it encourages participation in the investment phenomenon and removes a number of bureaucratic barriers. The legislative proposal adopted by the Romanian Parliament, supported by BVB, allows much easier access for as many participants in the capital market and is an incentive for Romanians to place their savings on the local stock market”, said Adrian Tănase, CEO of the Bucharest Stock Exchange.

The market value of the Romanian companies listed on BVB reached at the end of April RON 143.7 billion, the equivalent of over EUR 29 billion. Romania has become increasingly visible internationally and has been present, since March 21st, with 11 companies in the Russell FTSE index dedicated to emerging markets.

Florin Cepraga, Senior PR Specialist, Bucharest Stock Exchange

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