Romania's competition body starts preliminary probe into money market interest rates

Romania’s Competition Council started preliminary investigations related to the developments on the money market in the period that followed the adoption of emergency ordinance 114/2018, the president of the institution Bogdan Chiritoiu informed. The Council is analyzing the money market interest rates (ROBOR), but not the exchange rate evolution, Chiritoiu explained, according to local Hotnews.ro. Under the emergency ordinance, local banks are supposed to pay a tax on their financial assets, on a quarterly basis, broadly proportional to the average ROBOR for the maturities of 3 and 6 months. Chiritoiu has not specified whether a formal probe would be launched. Bogdan Chiritoiu also responded accusations expressed by MPs of the senior ruling party, the Social Democratic Party (PSD), regarding the lack of action in the case of the alleged interest-rate fixing in 2008. He explained that the investigations carried at that time spotted no collusion among banks. Nonetheless, Chiritoiu confirmed that the Competition Council is currently carrying investigations into the banking market, having screened 25 banks already. The investigation targets deeds dating from two years ago and the outcome will be made public after the probe is completed. editor@romania-insider.com (photo source: Facebook / Consiliul Concurentei)