Voinea (BNR): Romania has a stable financial position

Newsroom 14/12/2016 | 11:57

The vice governor of the National Bank of Romania (BNR), Liviu Voinea, says that the country has a stable financial position, marked by low international financing costs.

Voinea explained that Romania’s economic growth is sustainable the additional demand has been covered mostly from domestic sources.

“The main growth factor was the acceleration of the household consumption, due to the increase of wages and the fiscal easing measures. The next exports of goods and services has increased its negative contribution to the GDP dynamics, but it is within limits,” said Voinea.

According to BNR’s report gauging the financial stability of the country, the banks have continued to get non-performing loans (NPLs) off their balance sheets, with the average NPL rate reaching 10 percent of the total loan book in RON.

“Romania has a stable position: the need for external financing is manageable, the financing risk is reduced, the financing costs are low, the contagion risk is low, and the foreign exchange financial reserve that is available for the Ministry of Public Finance is consistent. Taking all into account, our country can feel pressure if the investors suddenly change their perception regarding emerging companies,” said Voinea.