The outlook of rising inflation in the wake of the VAT hike, along with a RON downward trend, has pushed many people to rush to the safest investment in troubled times, gold. Piraeus Bank, the only domestic bank selling gold to individual clients, witnessed significantly higher demand of gold, with June as the busiest of the nine months since it entered this niche. "(...) Romanians have shifted to gold, as a palpable asset and insurance policy against risks, driving the value of deals with gold at Piraeus Bank to a record high since the product was launched," says Alina Piciorea, head of the sales department at Piraeus Bank's Treasury. Overall, the bank sold 25 kilograms of gold and 500 coins, totally worth 4m RON (almost 1m euros) in June. At the end of last week, Piraeus sold a gram of gold for 169 RON, against a benchmark rate of 141 RON/gram with NBR. Against the NBR rate, the price of gold has risen by almost 60% in the past year, topping banking interest rates (which have fluctuated between 6 and 15% per annum during this period).

The outlook of rising inflation in the wake of the VAT hike, along with a RON downward trend, has pushed many people to rush to the safest investment in troubled times, gold. Piraeus Bank, the only domestic bank selling gold to individual clients, witnessed significantly higher demand of gold, with June as the busiest of the nine months since it entered this niche. "(...) Romanians have shifted to gold, as a palpable asset and insurance policy against risks, driving the value of deals with gold at Piraeus Bank to a record high since the product was launched," says Alina Piciorea, head of the sales department at Piraeus Bank's Treasury. Overall, the bank sold 25 kilograms of gold and 500 coins, totally worth 4m RON (almost 1m euros) in June. At the end of last week, Piraeus sold a gram of gold for 169 RON, against a benchmark