In the first half of 2011, the loan volume climbed to almost EUR300 million.
Raiffeisen registered two-digit increases along both its major business lines: 24% on the corporate segment, despite the sluggish economic recovery, and 23% on retail, despite the still low demand.
Overall, the value of loans originated by the Austrian-held bank in Romania got close to EUR4.4 billion in late June, up by almost EUR400 million from a year ago, according to data published by the parent bank, Raiffeisen Bank International.
Despite the rising loan volume, net fee income dropped by 4% in the first half from a year ago, to EUR87 million. Instead, interest income climbed by 6%, to EUR115 million, against an 11% increase reported in the first half of 2010.
The loan volume growth diluted the weight of bad loans, which dropped by 0.7% from June 2010, to 6.9%.
The growth pace of deposits was much slower than in the case of lending: a 5% increase on retail, stagnation on the corporate segment. Overall, the volume rose by 4%, to EUR3.56 billion.
“Boosting efficiency and improving services for clients will remain our priorities in the coming months,” said Steven van Groningen, Raiffeisen Bank president.
(English version by Catalina Apostoiu; Editing by Loredana Fratila-Cristescu)