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246 Slusariuc, G.C.; Răscolean, I.; Guţă, A.J. a visiting card of assessed countries. Therefore, within this context of global economy evolution it is imperative to know the sovereign risk of every state. IMF has warned that the risks upon global economy have risen. The situation is due to crisis continuation in Greece, difficult negotiations upon American deficit and the need to attenuate the explosive growth of Asia. However, IMF estimates a constant growth of global economy of 4.3% in 2011 and 4.5% in 2012. Rating agencies - Standard & Poor's, Moody's and Fitch analyses the degree of risk and gives to countries and companies a mark that reflects the capacity to pay their debts. Triple A was the maximum rating given by S&P, and United States had this rating permanently since 1941. S&P agency announced that the economic measures taken by the American officials are short of satisfactory and downgraded US rating. It’s for the first time in history when US rating falls from the highest level AAA, from 1917, now being AA+. S&P also added a negative perspective, which means that in the next two years the rating can go down again. In Europe, Italy joins Spain, Ireland, Portugal, Cyprus and Greece on the list of countries in Euro zone that received a low rating from international agencies. In Europe the country with the lowest rating is Greece, who was downgraded by S&P and Moody’s because the risk of default was 50-50. Ecuador halted payments twice, in 1999 and 2008 and Argentina had its default in 2001. According to Standard&Poor’s, the countries with the lowest rating in the world are listed below. Table 1. Countries with the lowest rating in the world Countries Rating 1. Greece CCC 2. Jamaica (B-) 3. Ecuador (B-) 4. Pakistan (B-) 5. Grenada (B-) 6. Fiji (B-) 7. Belarus (B) 8. Argentina (B) 9. Belize (B) 10. Ghana (B) Source: Standard&Poor's Agency In this context we realised a risk comparison between Romania and another European state, respectively Bulgaria, using a Romanian method, respectively EximBank method. In Romania, EximBank is involved since 1992 in promotion of Romanian business environment, supporting with its financial tools the proposed and deployed projects by local companies. Besides the feature of commercial bank of EximBank a new characteristic of Export Credit Agency is added and is intended for supporting Romanian exporters. Therefore, the tops
Sovereign Risk Assessment under Economic Crisis Conditions 247 elaborated by Import Export Bank of Romania take account of country risk associated to commercial activities and are customized for the situation of Romanian exporter. BEIR (EximBank) assesses country risk on short term based on two classes of factors: economical and political factors. The weight of these categories of factors in final score is identical and is 50%. EximBank method is a combination of quantity and quality analyses similar rather to techniques used by specialized international firms than banking institutions. And it’s natural, because the aim of the analysis is rather to give information to the clients concerning country risk than optimizing banking portfolio. So, besides given tops, BEIR offers extra products, their function being to help Romanian exporters to take correct decisions. Here are taken account of: - country files that contain various information concerning political, economical and financial situation of the state; - twice a year there is edited a Country Risk Assessment that is a synthesis of political and economical information of assessed countries; - regional analyses; - studies on specific subject realised at the demand of its clients. Quantification and country risk evaluation for Romania using analytic model of EximBank for 2010 year. In the following, we will realize a country risk assessment for Romania for 2010. I. The score of economic factors is given by the formula: 9 SE = ∑ PFEi = 42 po int s i= 1 1. The development level of the country calculated with the ratio GDP/capita = 7542 UDS so PFE 1 =8 points. 2. The annual GDP growth was 1.3% in 2010 therefore PFE 2 =0 points. 3. The position of balance of payments is given by the ratio between balance of payments and the GDP, so: SBP − 5,864( bilEUR) × 100 = × 100 = −4,8% PIB 122( bilEUR) ==> PFE 3 = 4 points 4. Inflation rate was 7.96% so PFE 4 = 4 points. 5. Export dependency is calculated as a ratio between collections from the main exported product and total value of exports (12%). In this case PFE5 = 9 points 6. The level of import coverage by exports, G co , is calculated as a ratio between goods and services export and goods and services import:
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Concerns on Labour Power Selection
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Regional Development - Past, Presen
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Forms of Tax Evasion in Romania. An
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4. CONCLUSIONS Forms of Tax Evasion
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Mitigation of the Crisis Effects in
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Guiding Marks Regarding the Reasoni
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The Influence of the Mining Unions
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Integration process in management s
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ERP and BI Implementation in Romani
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Romanian Companies Dilemmas-Busines
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Proposal for Strategies to Build Mi
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Trust in B2B e-Marketplaces 117 of
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The Role of Accounting Information
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Aspects Regarding the Evolution of
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The Mining Projects - An Approach i
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Promotion of Employment among Youth
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Promotion of Employment among Youth
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Decisions in Negotiations Using Exp
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3. CASE STUDY Decisions in Negotiat
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The Impact of Micro Finance Institu
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Specific Aspects of the Technical R
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Youngsters - Disadvantaged Group on
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Internal Controls in Ensuring Good
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