Deposits in Romanian banks keep growing by double-digit rates
The deposits in Romanian banks keep accumulating at robust, double-digit rates, with the stock of aggregated deposits expanding by 13.7% year-on-year (YoY), to RON 435.9 bn (EUR 88,6 bln) at the end of May, according to the National Bank…
iulian ernst · Journalist
· Updated · 1 min read
The deposits in Romanian banks keep accumulating at robust, double-digit rates, with the stock of aggregated deposits expanding by 13.7% year-on-year (YoY), to RON 435.9 bn (EUR 88,6 bln) at the end of May, according to the National Bank of Romania (BNR).
This is nothing new, though, as the stock of deposits was rising by 13.9% as of the end of May 2020.
As a result, the loan-to-deposit ratio is shrinking to 68% at the end of May 2021, from 70.2% one year earlier.
The stock of deposits above the loan portfolio, at an aggregated level, expanded by 22% YoY to RON 139.6 bln (EUR 28.4 bln).
Indeed, the largest part of the deposits are sight deposits, therefore more volatile in principle, but not necessarily now when the low interest rates (particularly the deposit interest, negative in real terms) resulted in households’ weak propensity for setting up term deposits.
(Photo: Octav Ganea/ Inquam Photos)
