"We are paying close attention to the stability of the exchange rate," Dan Suciu, the communications director of the National Bank of Romania (BNR), said on February 28, commenting on the potential contagion effects generated by the war in Ukraine, Ziarul Financiar reported.

The Romanian banking system's exposure to Russia or even Ukraine is limited, he added.

However, the money market rates in Bucharest and the yields of the government securities shifted upwards on February 28, in line with a global pattern, BNR's official admitted.

The yield on 10-year government bonds has exceeded 6%.

"We expected this, given that in addition to domestic problems, rising inflation, this crisis in Ukraine has also occurred. We are closely following the government securities market, and we are looking forward to seeing where the interest rates stabilize," BNR's Suciu stated.

(Photo: Vlad Ispas/ Dreamstime)

andrei@romania-insider.com