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Jurnalul.ro Vechiul site Old site English Version Less Credits, Less Economic Results, Later Economic Rebound; Central Bank Says

Less Credits, Less Economic Results, Later Economic Rebound; Central Bank Says

26 Aug 2010   •   00:00

Romania's Central Bank is worried the dropping number of companies filing for bank credits is a sign of delayed economic rebound. About 14% of active companies filed for credits in June 2010, compared with 16% in March 2009, a Central Bank report shows.

About 80% of the drop is due to the small to micro-companies that were unable to file for bank credits.
Companies that borrow money on the domestic or the international financial markets contribute to about 60% of the added value created in the non-financial sector of the economy.

The Central Bank is expecting that both economic and crediting rhythms to pick up in slow motion.
It presents a rather gloomy outlook, when it explains that companies exported part of their problems to their business partners, who in turn did the same, all of which resulted in a deadlock, with suppressed demand and supply and cash flow.
Translated by AAP

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