“The market of lei-denominated loans is liquid and there is no problem with the sustainability of interest rates whose trajectory follows the inflation expectations. Interest rates are not high, the consumer interest rates are lower than in the Czech Republic, Poland and Hungary,” said Olteanu.
Olteanu went on saying that the banking system is well capitalized, has a proper liquidity level, but banks’ activity remains feeble.
The level of non-performing loans (NPLs) is nearing a reasonable level. There is no such thing as bank or economy with no NPLs. Their level depends on the economic model and it is only natural to witness increased non-performance after a deep crisis, he also said.
According to Olteanu, the solvency and liquidity indicators of the banking system are very good. However, the central bank is ready to cope with any kind of situation and has prepared intervention scenarios for banks in difficulty, with particular focus on the Romanian units of Greek banks due to the situation in Greece.