Gov’t credit increased three times faster than the one in private sector in the last 12 months

During February 2016 – February 2017, non-government credit increased by 2.1 percent, while government credit advanced 7.4 percent (7.2 percent in real terms) versus the same year-ago period, National Bank of Romania (BNR) data reveal, a press release informs

“At end-February 2017, non-government loans went up 2.1 percent (1.9 percent in real terms) year on year, on the back of the 13.9 percent increase in RON-denominated loans (13.7 percent in real terms) and the 10.6 percent decline in foreign currency-denominated loans expressed in RON (when expressed in EUR, forex loans dropped 11.5 percent),” the release reads.

On the other hand, RON-denominated household deposits increased by 1.0 percent to RON 104,520.5 million. At end-February 2017, household deposits in domestic currency rose by 12.7 percent (12.4 percent in real terms) against end-February 2016.

RON-denominated corporate deposits (non-financial corporations and non-monetary financial institutions) edged up 0.4 percent to RON 81,067.4 million. At end-February 2017, RON-denominated corporate deposits climbed by 9.6 percent (9.4 percent in real terms) year on year.

In year-on-year comparison, residents’ forex deposits expressed in RON advanced 3.2 percent (when expressed in EUR, residents’ forex deposits rose by 2.1 percent); household forex deposits climbed by 9.1 percent when expressed in domestic currency (when expressed in EUR, household forex deposits expanded by 8.0 percent) and forex deposits of legal entities (non-financial corporations and non-monetary financial institutions) moved down 8.2 percent when expressed in RON (when expressed in EUR, forex deposits of resident legal entities stood 9.2 percent lower).

corporate depositsforex depositsforex loansgovernment credithousehold depositsNational Bank of Romania (BNR)non-government creditprivate sectorRON-denominated
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