Non-performing loans accounted for one quarter in the portfolio of non-banking financial institutions at the end of last year, down from almost 30% in June 2010, according to the data provided by ALB Romania, the association representing the interests of the leasing and consumer lending industry. However, compared with three years ago, the weight of bad loans is twice as high.
There are no data on the total volume of loans granted by non-bank financial institutions, but the institutions included in NBR's special registry in late January had a funding portfolio of 36bn lei (8.5bn euros), meaning a value of bad loans of above 9bn lei.
"Around 10% of the total number of clients have payment delays of over 90 days, but this does not necessarily mean default. We're in talks with these clients to find restructuring solutions," stated Antoaneta Curteanu, CEO with UniCredit Leasing and chairperson of ALB Romania.
Non-performing loans accounted for one quarter in the portfolio of non-banking financial institutions at the end of last year, down from almost 30% in June 2010, according to the data provided by ALB Romania, the association representing the interests of the leasing and consumer lending industry. However, compared with three years ago, the weight of bad loans is twice as high.
There are no data on the total volume of loans granted by non-bank financial institutions, but the institutions included in NBR's special registry in late January had a funding portfolio of 36bn lei (8.5bn euros), meaning a value of bad loans of above 9bn lei.
"Around 10% of the total number of clients have payment delays of over 90 days, but this does not necessarily mean default. We're in talks with these clients to find restructuring solutions," stated Antoaneta Curteanu, CEO with UniCredit Leasing and chairperson of ALB Romania.
