The new regulation regarding the loans for individuals adopted by the National Bank of Romania (BNR) introduces more severe regulations and filters for banks regarding the loans, says the executive president of Romanian Banks Association (ARB), Florin Danescu.
The regulation was published on the Official Gazette and needs to be applied by banks until the end of this year.
„The regulation is constantly strengthening, the risks are higher and higher and of course the filters required for banks need to be more severe. Unfortunately, we assist to a dual behavior. On one hand people expect more loans, easier offered to clients, but on the other hand, we all observe that risks are increasing. And with the increasing risks, filters are more severe. It’s exactly as debt discharge law. Everybody wanted an increase in mortgage loan, a flexibility, but we observed in the end a limitation of loans,” said Danescu, as quoted by Agerpres newswire.
According to him, even at European level, as well as individual banking level there are higher risks.