Credit crunch enters a new stage: Romanian National Bank (BNR) officials are talking about "people thrown out of their houses". Elsewhere in the news, in Romania, any mad man can make the planes return after take-off. Last but not least, Romania is the heaven of mafia runaways.
Credit crunch enters a new stage: Romanian National Bank (BNR) officials are talking about "people thrown out of their houses", Gandul informs. Bank Governor's councillor Adrian Vasilescu says that the state has contributed to the last year's recession by taking massive loans from the banks. But the money has not been used to pay up debts to private companies.
Vasilescu indicates that an increasing number of Romanian citizens risk being thrown out of their houses, which they have bought with loans from banks. He believes banks should pay attention to these social issues and the Government should intervene if it can.
In January 2010, people's arrears amounted to 2.15 billion euros, in contrast to 900 million euros, the figures in January 2009, BNR data show. Over 214,000 Romanian citizens and companies owed the banks money, up 36% against last year's similar period.
Insolvency and bankruptcy specialist Gheorghe Piperea warned recently about the alarming increase in banks' requests to get people out of their houses. Most of these persons have taken a credit for personal needs, worth of 30,000-40,000 lei. 100,000 Romanians were in this situation in February this year, he said.
Vasilescu indicates that banks have financed state loans week after week, mainly to cover the budget deficit - pensions, salaries, debts. Vasilescu said the state paid too little of its dues and worsened the recession. In 2009, the Romanian state borrowed 7 billion euros, up 172% against its 2008 loans, BNR data indicates. The Romanian authorities "forgot" to pay it