Romania has an insolvency incidence over four times higher than the Central and Eastern European (CEE) average, according to a study by Coface, Romania-Insider.com reported. About 45 of 1,000 active companies in Romania entered insolvency in 2014, the highest rate in the region. Serbia came second, with 41 insolvencies for each 1,000 companies, followed by Hungary, with 29. At the other end, Poland only had 0.5 insolvencies for each 1,000 companies, while the regional average was 10.

The personal insolvency law could have a budget impact of EUR 271 million in five years, Romania-Insider.co reported. This has been calculated based on the total number of potential insolvencies, which amounts to 800,000, and the monthly tariff of RON 100 – 300 (EUR 22.6 – 68) per file, which would be covered by the state, said Alexandru Stanescu, consultant within the World Bank. However, this was not a bank’s analysis, but a personal one, an estimation, Stanescu added. The Government should have mentioned the budgetary impact of this law, and the tariffs that administrators will charge.

Ambient Sibiu, a local do-it-yourself (DIY) retailer and distributor of building materials, has filed for insolvency. The company submitted an insolvency request at the Sibiu court asking for its approval to start a reorganization process, Romania-Insider.com reported. “The evolution of the construction sector and the retail with building materials in the past years has shown that the domestic market remains a difficult one,” reads a company press release, cited by local Capital.

Romania's financial regulator ASF withdrew the operating licence of the country's second-largest insurer Astra Asigurari on Wednesday and said it will start the process of declaring it insolvent. ASF chief Misu Negritoiu said Astra Asigurari, which has a market share of just over 10 percent, had a liquidity coverage ratio of 0.03 at the end of June and additional capital needs of 968 million lei ($248.19 million). The company has been under special administration since early 2014.

Prima TV, a commercial TV channel owned by Romanian businessman Cristian Burci, entered insolvency after the Bucharest Court admitted the application for opening the procedure against the debtor, Romania-Insider reported. The court also appointed SMDA Insolvency SPRL as judicial administrator, reports local Mediafax. Prima Broadcasting Group SRL, the company that owns the audio-visual license of Prima TV, filed the insolvency request on August 6.

Romania seems to be receiving more than its fair share of attention — some good, some not so good. On the positive front, the economy, like others in central Europe that are plugged in to better German demand, is growing strongly. On the negative side, there are three main areas of concern. First, Romania is not immune to the problems in Greece, being principally affected through the banking system. There are four Greek-owned banks that are notably active in Romania, which together account for about 10 per cent of total bank assets.

Bakery chain Fornetti Romania, which has filed for insolvency in 2011, has fulfilled its obligations to the lenders, banks and partners included in the reorganization plan, according to its statement. The judicial administrators will propose closing the insolvency procedure in the next eight months, reports local Mediafax. The company estimates that it will increase its sales by 15% this year and will invest in modernize its stores. Last year, the bakery chain managed to stay on profit, and posted a EUR 22 million turnover. The company has 400 employees.

Oil company Rompetrol SA registered on May 28, at Bucharest Court, a request for insolvency. The company’s request is to be evaluated by judges from Bucharest Court on June 8, reports Mediafax, Business Review reported. According to the courts, the request for insolvency was submitted on the basis of Article 66, Law 85/2014 on insolvency prevention procedures and insolvency.

Romanian state-owned power producer Hidroelectrica will hopefully exit insolvency next year, Prime Minister Victor Ponta said on Wednesday, adding that the government aims to list an airport and Constanta port to strengthen the bourse. Last week Reuters reported that Hidroelectrica would not exit a court-administered insolvency process this year, as initially expected, due to lengthy legal challenges. The EU state's largest and cheapest power producer was pushed back into insolvency for the second time in early 2014, and is being run by a court-appointed manager.

Romanian state-owned electricity producer Hidroelectrica will not exit the insolvency process this year, as initially expected, due to lengthy court actions, the company’s legal administrator said in an interview with Reuters. Hidroelectrica has managed to reorganize its activity in the last three years and posted record profits in 2014 and the first quarter of 2015, but still has to solve its problems in court. “The court challenges are advancing very slowly,” said manager Remus Borza. He added the company still had 19 ongoing trials out of an initial 75.