“It’s a matter of fact: lenders must rethink their funding policies, because the financing lines from their mother banks are also being rethinked, to phrase it elegantly,” Olteanu said.
“If we expect a lending recovery, then we must have both a solvent demand and the resources to support the banking offer,” he added.
Parent banks have cut exposure to their Romanian subsidiaries by around EUR2.5 billion to EUR17.5 billion in the first nine months of 2012.
Olteanu said the central bank is in talks with the Romanian Banking Association over potential modifications to the banking laws so that mortgage bonds could become an attractive instrument for both lenders and their customers.
“We’re waiting for arguments that will show us what currency should these bonds be issued in and what is the best way to price them,” Olteanu said.
Romania is the only member of the European Union that doesn’t issue mortgage bonds.