Romania has the chance of registering an economic growth of 2% this year, way above the initial forecast; bankers describe that as a substantial crediting boost. Such an incentive is a must, bankers explain, because the currently stalled crediting operations cannot be resumed in the absence of sustainable economic growth. But according to non-banking pundits, no sustainable growth can be achieved without a resuscitated crediting activity.

Solutions are needed in order to overcome a situation like this, says Adrian Vasilescu, advisor of the Central Bank governor. In his opinion, the positive dynamics of bank loaning cannot be achieved without the crediting of various businesses.

“Crediting cannot commence in Romania at present without channeling loans toward sound companies. And this process of crediting companies will eventually reach the population. Companies will get credits, production will be boosted, fresh jobs will be created, there will be pay rises and all this will eventually spark off higher living standards.”

The president of the Romanian Banking Association, Radu Gratian Ghetea already sees the glass as half full: “Romania is among the few countries, whose economy continues to grow. And I believe if we continue to keep this upward trend and if everything is going to be fine in agriculture as well, the long-awaited appetite for crediting, including by the banks, will also be on the rise. The economy has started to grow and if this trend is maintained, I am convinced that in autumn we’ll be witnessing a strong crediting boost.”

Adrian Mitroi, vice-president of a commercial bank in Romania, says that recent signals sent by the Central Bank are pointing towards annual interest rates below 10% per year for RON deposits at the end of 2013.

Adrian Mitroi: “We’ve got everything we need to offer lower interest rates. I am optimistic and believe that towards the end of the year we’ll be seeing one-digit interest rates and I believe it is a good sign that these high interest rates have been kept at bay and we are moving in the right direction.”

At present in Romania, the effective annual interest rate for RON deposits generally ranges between 11% and 28% per year for consumer credits and between 7% and 14% for mortgage loans.