Banking Employers: We disagree an administrative measure of loan conversion to a different rate exchange

The conversion of Swiss francs loans into national currency as a result of an administrative action is not desired by the banks, being considered unnecessarily for all debtors. Also, the costs affect depositors.

The banks have individual solutions, the President of the Council of Banking Employers of Romania (CPBR), Steven van Groningen said on Tuesday, after he attended the meeting of the Committee Budget and Finance and Banking of the Chamber of Deputies, which was postponed due to lack of quorum.

Why we have to create a cost for the banking system, which could be between EUR 700 and 900 million because in a week the exchange rate increased by 20 percent, which translates into a rate raise between 10 – 15 percent? It’s a matter of cash flow, of debt service. Why should we take a measure that affects a loan for another 20 years?” said van Groningen, who is also the President of Raiffeisen Bank Romania.

He showed that he does not believe in administrative measures and that the situation in Romania is totally different from other countries which have rapidly adopted measures and where the conversion has not been made into another exchange rate than the current one.

CPBR president believes that banks should not jeopardize depositors’ money by converting CHF loans at historical rates, with or without extra percentages.

Among the possibilities for restructuring, the President of Raiffeisen Bank Romania listed the interest rate cut for a certain period or the extension of loan period for reducing monthly rate.

On the other hand, the central bank deputy governor, Bogdan Olteanu, said late on Monday that six banks in Romania have agreed to convert Swiss francs loans in RON. According to him, it is about Bancpost, Volksbank, Piraeus Bank, Raiffeisen Bank, Banca Romaneasca and OTP Bank.