Stock of overdue payments on bank loans in Romania hits EUR 7.15bn at end-April.

By bne IntelliNews May 29, 2013

The stock of overdue payments on bank loans in Romania increased by 29.6% y/y to RON 30.9bn (EUR 7.15bn) at the end of April, the central bank said.

Commercial banks thus hold claims equivalent to 13.9% of the loan stock. The ratio increased from 13.6% a month earlier and 10.5% a year earlier.

Banks have to collect RON 12.3bn (EUR 2.8bn) from recipients of local currency loans and RON 18.7bn (EUR 4.3bn) from recipients of foreign currency loans. There is a visible trend toward steeper accumulation of overdue payments on foreign currency loans despite the recent strengthening of the local currency that should in principle ease the debt service burden.

Overdue payments 2009 2010 2011 2012 Apr-13 y/y
Total, EUR mn, o/w 1,849 3,771 4,938 6,479 7,153 31.8%
   On local currency loans 1,027 1,774 2,152 2,533 2,839 24.5%
   On foreign currency loans 822 1,997 2,786 3,946 4,314 37.0%
Total, % of stock of loans 3.9% 7.7% 9.5% 12.6% 13.9% 3.4pps
   Local currency 5.4% 9.8% 11.4% 13.2% 14.6% 2.2pps
   Foreign currency 2.9% 6.4% 8.4% 12.2% 13.5% 4.0pps
Source: BNR, IntelliNews

Related Articles

EC clears €200mn capital increase at Romanian state-owned CEC Bank

The European Commission has approved Romania’s planned €200mn capital increase for state-owned CEC Bank, allowing the country to proceed with strengthening the lender’s financial position, ... more

Austrian bank Addiko to enter Romanian market with consumer loans first

Addiko Bank, an Austrian financial institution specialising in the consumer and SME sector operating in Central and South-Eastern Europe (CSE), is preparing to launch operations in Romania with the ... more

Moldova’s MAIB announces stronger profit and plans to expand in Romania

Moldova’s Maib bank, which plans to list its shares on the Bucharest Exchange (BVB), has reported an excellent third quarter, with net profit rising by 11% year on year to MDL1.1bn ... more

Dismiss