The volume of guaranteed deposits shrank by RON2 billion from December 2013.
Total deposits attracted by banks participating in the Fund amounted to RON277 billion, down from RON286 billion in December. Another RON28 billion were included in deposits set up with foreign banks’ subsidiaries, being guaranteed by the schemes of banks’ countries of origin.
“Individuals’ deposits advanced along the RON component, while foreign currency deposits contracted. Unlike the positive dynamics of individuals’ guaranteed deposits, the segment of company guaranteed deposits posted withdrawals in the first quarter. Nonetheless, companies’ deposits maintain at one of recent years’ highest levels,” according to the fund’s officials.
Around 13.8 million individuals and almost 900,000 companies held guaranteed deposits at the end of last month. These account for almost 95% in the total number of depositors. The 31 domestic banks participating in the Fund have 14.7 million depositors, while another 800,000 individuals and companies hold deposits with foreign bank subsidiaries.
Individuals in late March held deposits with banks participating in the domestic guarantee Fund worth the equivalent of RON56 billion, with almost all accounts being guaranteed. Companies held deposits worth RON120 billion, but only RON27 billion were guaranteed.
The guarantee Fund in the 2009-2013 period paid compensations worth RON512 million in the account of seven bankrupt banks. However, by the end of last year, the Fund recouped just RON175 million from the former banks.
The Fund has around RON3 billion (EUR670 million) available in case a bank would go bankrupt. Against 2007, the Fund’s resources augmented almost four times, while the level of potential compensations doubled to RON123 billion. Part of the Fund’s resources come from annual contributions participant lending institutions pay annually.
(English version by Catalina Apostoiu)