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).