Romanian banking system reports record-high net profit in Q1

Banks in Romania saw net profits of RON 1.23 billion (EUR 270.5 million) in the first three months of the year, a record level for the post-crisis years, reports local Profit.ro. The cumulated profits increased by 5.3%, or EUR 13.6 million, compared to the first quarter of 2016, according to preliminary data reported to the central bank by the 36 banks active in Romania. The local banks recorded a net profit of RON 4.4 billion (almost EUR 1 billion) in 2015. It was the highest result after the crisis, boosted by the merger between Banca Transilvania and Volksbank. In 2016, the local banking system saw a net profit of RON 4.25 billion (EUR 934 million). Between 2010 and 2014, banks recorded net cumulated losses of RON 8.3 billion (EUR 1.8 billion). Banca Transilvania, the second largest local lender based on the assets, increased its profitability by 7.7% to about RON 246 million (EUR 54 million), in the first quarter of 2017 compared to the first three months of 2016. BRD-Groupe Société Générale, the third largest local lender, reported a net profit of RON 307 million (EUR 67.5 million), up almost four times compared to the first three months of 2016. Largest local lender BCR recorded a net profit of EUR 39 mln in Q1, down 40% year-on-year. editor@romania-insider.com