Romania’s three-month money market rate (ROBOR), the main indicator that sets the interest rates for RON currency borrowers, rose on Friday to 3.17 percent, the gighest level since September 5.
The 6-month ROBOR increased to 3.39 percent, the highest level since September 4.
Compared with the end of 2017, the 3-month index rose by 1.12 percentage point, from 2.05 percent.
On Monday, National Bank of Romania injected RON 6.5 billion (EUR 1.4 billion) into the money market through repo operations (government securities-backed lending to banks), a move designed to address liquidity shortage – and to cap interest rates in the market.
But this move had limited in the market, as interes rates continued to rise this week.
The biggest worries about Romania are its fiscal policy, political situation, and the external standing, while a possible excessive deficit procedure by the European Commission might bring troubles for RON, Ebury Romania CEO Johan Gabriels recently said in a commentary sent to Business Review.
The 3-month ROBOR index reached a record low of 0.68 percent in September 2016.