Romanians get more loans in foreign currency, save more in RON

The value of loans in Romania granted by credit institutions crept up overall in April this year, according to Romania's central bank (BNR). The total value of non-government loans was of around EUR 51.3 billion at the end of April, a rise of 0.1 percent on March 2012 and of 9.8 percent on April 2011.

Foreign currency loans, valuing some EUR 33 billion , accounted for the majority and recorded a 0.7 percent increase, while the value of RON denominated loans fell by 0.9 percent to just under some EUR 18.4 billion . In both local and foreign denominated loans, the split between household and corporate loans was fairly even. Around 42 percent household and 58 percent corporate in local currency loans, while for foreign denominated loans it was even closer – about 49 percent household and 51 percent corporate. The total of RON household and corporate loans fell ( -0.5 and -1.2 respectively) from end- March 2012, while against April 2011, corporate loans had risen 7.8 percent and household loans fallen 2.3 percent. In non-government forex loans, the totals were up against both March 2012 ( household +0.4 percent corporate +1.2 percent) and April 2011 (+11.8 and 15.9 percent). Deposits of non-government resident customers were up, up and up. Overall, deposits rose to around RON 192 billion ( just under EUR 44 billion ) – a 0.9 percent rise against March 2012 and 12 percent against April 2011. Foreign and locally denominated household deposits rose against March 2012 and April 2011. Corporate deposits in RON fell slightly against March 2012 ( -0.1 percent ) but increased significantly compared to April 2011 ( + 16.6 percent). Meanwhile forex denominated corporate deposits rose by 2.3 percent against March 2012 but fell by 1.8 percent compared to April 2011. Liam Lever, liam@romania-insider.com