Bruynseels, BCR: First signs of a rebound are showing. We will increase lending by 10%

The demand for loans from companies is on the rise, while retail clients have adjusted to the crisis conditions, says Dominic Bruynseels, head of BCR, the biggest local bank.

This year, BCR intends to increase the loans granted by up to 10%, with the growth driven mostly by the higher demand from state-run companies and from infrastructure projects carried out by the public authorities. As for the retail segment, hopes are pinned again on the "First Home" governmental scheme, while consumer confidence is still undermined by the gloomy unemployment prospects.

In 2009, BCR's loan portfolio fell by about 2% in euros, to 10.9 billion euros. Calculated in RON, the volume rose by 7%, but the exchange rate played a part in the statistics in this case. Even so, BCR increased its market share on the lending segment by 0.5%, to 22% by the end of last year, even though private lending shrank across the entire system. Bankers blamed the lack of demand for loans from clients, while company managers often criticised the too high interest rates.

"The issue of demand for financing remains on the corporate segment, but not because of the entrepreneurs' lack of confidence, but because of the lack of orders. Industrial output is already growing, there are positive signs, but we will not revert to the levels before crisis. Many companies, however, have made investments during this period, and when the market will rebound, they will be more efficient," Bruynseels said during a meeting with journalists yesterday held to discuss the group's last year results.