Volksbank Romania was an institution with many problems, including management issues, high risk taking, and massive exposure on loans in foreign currency, said Mugur Isarescu, the Romanian National Bank (BNR) governor.

The shareholders had to sell their shares at a discount to be able to recover something.

Mugur Isarescu said that Banca Transilvania, the local bank that took over Volksbank Romania, could give more details about the institution. The central bank has legal boundaries on what it can share about a bank.

"This bank's experience in Romania was not a happy one, despite the fact that it was an Austrian bank. This is known in Romania and abroad too," Isarescu added, cited by local Mediafax.

editor@romania-insider.com