ARB’s Oprescu: Romanian banking system has 18pct solvency ratio, one of region’s highest

ARB’s Oprescu: Romanian banking system has 18pct solvency ratio, one of region’s highest

The Romanian banking system has an 18 percent solvency ratio, being one of the highest in the region, and for the first time in 2015, there is an increase in the non-governmental loan, Romanian Banking Association (ARB) Board Chairman and Alpha Bank Romania CEO Sergiu Oprescu told a specialist conference on Wednesday.

“The Romanian banking system proved to be very resilient during this period. We may say that the solvency ratio in the Romanian banking system is one of the highest, if not the highest in the region, standing at 18 percent. We are among the few European banking systems that have never needed money from the government. The system has contributed to the economic development on its own. Some may argue that politics arrested the development of the banking system. There is a certain level of high competition in the Romanian banking system. The Romanian banking sector has begun to contribute increasingly more to the Romanian economy. For the first time, in 2015, we see the non-governmental loan increase in the entire Romanian banking system. It means such crediting is expanding on the market. Corporate loans are also on the rise,” Oprescu said.

The ARB executive also pointed out that the segment of mortgage loans will continue to grow in the coming years, from their current market share of 10 percent. More…