“The system has to be cleaned up. The central bank wants it to happen now so the lending activity can recover, but I think the first results will be visible as of 2015-2016,” Spurny told the ZF Bankers Summit’14.
He said Romania has a high rate of NPLs, but the situation will improve once the balance sheets are clean.
“There is a ray of light and it comes from the good economic growth, so we must be optimistic,” Spurny said.
BCR’s chief said the local banking system is likely to see a modest evolution in the next two to three years, because of the high level of non-performing assets. The corporate lending segment, in particular, is bound to witness a decline in the following period.
“BCR has had problems after the financial and economic crisis, because the bank has supported the local economy unconditionally. We must not make the same mistakes and we must only lend to the healthy economy,” Spurny said.