21 Mai 2009
Parent banks sign agreement to keep exposure in Romania
The written commitment of the major foreign banks operating in Romania will be signed by the representatives of parent banks within a month, as NBR and IMF agreed upon, and the required amounts for providing additional capital are due to be negotiated with the bank on a case-by-case basis, The Money Channel informs.
The bankers who attended the yesterday meeting at Brussels said the starting point agreed to keep exposures in Romania was end of March, as the first meeting of the major nine banks with NBR officials and International Monetary Fund took place on March 26 at Vienna.
Meanwhile, Jeffrey Franks (photo), the IMF’s mission chief for Romania, said he was optimistic on parent-banks’ commitment to doing business in the country and to provide additional capital to their subsidiaries if needed.
However, the financing lines from Greek-based parent banks to their Romanian subsidiaries narrowed by 1.641 billion euros in September 2008 - March 2009. Similarly, Austrian-based parent banks have reduced their financing lines in Romania by roughly 652 million euros, NBR’s vicegovernor, Eugen Dijmarescu said.
French-based institutions have increased financing in their Romanian subsidiaries by 722 million euros, while Italian-based banks steered 134 million euros more in Romania, between September 2008 and March 2009.
The nine banks whose representatives attended yesterday’s meeting with the officials of International Monetary Fund and National Bank of Romania are Erste Bank, Raiffeisen International, Eurobank EFG, National Bank of Greece, Unicredit, Societe Generale, Alpha Bank, Volksbank and Piraeus Bank.
As TMC said, the same banks attended the meeting from Brussels.
The nine banks have thus reaffirmed their support and pledged to provide additional capital to Romanian subsidiaries if needed.
The written commitment of the major foreign banks operating in Romania will be signed by the representatives of parent banks within a month, based on yesterday’s talks, said the CEO of Raiffeisen Bank Romania.
Meanwhile, Jeffrey Franks (photo), the IMF’s mission chief for Romania, said he was optimistic on parent-banks’ commitment to doing business in the country and to provide additional capital to their subsidiaries if needed.
However, the financing lines from Greek-based parent banks to their Romanian subsidiaries narrowed by 1.641 billion euros in September 2008 - March 2009. Similarly, Austrian-based parent banks have reduced their financing lines in Romania by roughly 652 million euros, NBR’s vicegovernor, Eugen Dijmarescu said.
French-based institutions have increased financing in their Romanian subsidiaries by 722 million euros, while Italian-based banks steered 134 million euros more in Romania, between September 2008 and March 2009.
The nine banks whose representatives attended yesterday’s meeting with the officials of International Monetary Fund and National Bank of Romania are Erste Bank, Raiffeisen International, Eurobank EFG, National Bank of Greece, Unicredit, Societe Generale, Alpha Bank, Volksbank and Piraeus Bank.
As TMC said, the same banks attended the meeting from Brussels.
The nine banks have thus reaffirmed their support and pledged to provide additional capital to Romanian subsidiaries if needed.
The written commitment of the major foreign banks operating in Romania will be signed by the representatives of parent banks within a month, based on yesterday’s talks, said the CEO of Raiffeisen Bank Romania.