Austrian bank Addiko to enter Romanian market with consumer loans first

Addiko Bank, an Austrian financial institution specialising in the consumer and SME sector operating in Central and South-Eastern Europe (CSE), is preparing to launch operations in Romania with the first solutions offered to consumers in the first quarter of 2025, according to Economedia.ro.

However, the bank does not expect the expansion into Romania to have a notable impact on profitability guidance before 2026.

The bank's interest in the Romanian market was first reported in 2022 by Profit.ro. At that time, the bank was targeting the Romanian corporate segment, particularly the small firms and the microenterprise. Currently, it envisages entering the consumer lending segment first.

The volume of new consumer loans issued in Romania surged by 64% y/y to RON 47 billion (EUR 9.5 billion) in 2024, while the new corporate loans, although at a slightly higher level (RON 49 billion), increased by under 14% y/y. The new mortgage loans issued by the Romanian banks in 2024 rose by 60% y/y to RON 50 billion - although a large part of it was refinancing.

In 2024, Addiko completed the preparatory procedures for entering the Romanian market in 2025, using the cross-border license of its Slovenian subsidiary.

The bank now claims it is ready to launch fully digital consumer lending solutions in the first quarter of 2025.

"Addiko will leverage its current digital platform, risk management expertise, and business practices for its digital launch in Romania with an initial personal loan product. [T]he implementation phase has been launched, which is currently focused on IT integration and planning for future tests. The group plans to initiate a pilot phase in the first half of 2025 to stabilize the system and adjust its value proposition," the bank said.

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