Banks will formulate a set of guidelines for small and medium sized enterprises, on debt restructuring mechanisms, methods and techniques meant to assist companies in the consultation and negotiation process, according to a recent press release of Romanian Association of Banks.
However, the instructions contained in the guideline are applicable in line with the risk policy of each bank, and internal norms and lending procedures, the policy of the lender and its cash availability.
The banks are also assessing the business and personal finance of each company deemed to be in need of loan restructuring.
The board of the association together with the representatives of various employer organizations in Romania met recently to tackle the propositions regarding 12-month deferral of debt repayment for small and medium sized enterprises.
The conclusion of the meeting was that the banking system had the required means of refinancing, deferring and postponing debt repayment for companies, but they weren’t sufficiently known to companies.
Members of ARB board, representatives of National Council of Small and Medium Sized Enterprises in Romania, Association of Businessmen in Romania, UNIMPRESA Romania, Romanian Association of Construction Entrepreneurs, and General Union of Industry workers in Romania participated in the meeting.
