Romania has kept its fourth position in Central and Eastern Europe on bank assets, with assets totaling EUR 91.4 billion, according to a study by Ensight Management Consulting.

The Romanian banking market was slightly up in 2013, by 0.34 percent, to some EUR 927.8 billion, but when expressed in Romanian currency, assets were down 0.94 percent in 2013. It was for the first time in the last ten years the local banking market was down in RON, both because of the activity slowdown, and due to a drop in loan volume.

The main reason for the lending slowdown was the lower demand from companies and individuals. Loans were down 2.51 percent on 2012, but deposits continued to grow moderately.

Non-performing loans continued their growth, from 18.24 percent in 2012, to 21.87 percent in 2013, mainly because of the high number of loans to sectors with a high degree of risk, and because of the RON depreciation against foreign currencies, according to the study.

editor@romania-insider.com