CEC bank disburses EUR 127 mln in dividends to Romanian Govt.

Romanian state-owned CEC Bank disbursed last week dividends of RON 634.3 mln (EUR 127 mln) for the financial years 2019 and 2020 to its shareholder, the Ministry of Public Finance.

The bank distributed over 85% of its net profit attributable to shareholders - having one of the highest dividend payout ratios on the market.

"We have demonstrated that CEC Bank can come up with a viable growth and transformation plan. And we have met all the commitments assumed within the Business Plan, which was the basis for the increase of the share capital of CEC Bank under competitive market conditions. The ability to generate profits for shareholders is the main indicator by which the attractiveness of a business on the market is measured. The Ministry of Finance acted as a private investor. These dividends demonstrate that it took the right decision," said Bogdan Neacșu, CEO of CEC Bank.

The disbursement of dividends is part of the obligations assumed under the business plan that was the basis for the increase of the share capital of CEC Bank, approved by the European Commission at the end of 2019.

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