According to the EC’s “Country Report Romania 2016”, the retroactive application of the law on debt discharge on the existing stock of loans, as laid down in the current form of this law, may constitute a challenge for several credit institutions and lead to weaker credit activity going forward.
If passed by Parliament in its original form again, it may also generate a systemic risk for the entire banking sector, with risks for financial sector stability and implications for the whole economy.
The document is a European Commission staff working document and does not constitute the official position of the Commission, nor does it prejudge any such position.
According to the bill on giving in payment, the debtor can resort to the payment of the mortgage loan with the mortgaged property if the loan was guaranteed with two or more properties.