Greek-held Alpha Bank and Banca Romaneasca (local subsidiary ofthe National Bank of Greece) were the first two banks to react tothe signal sent on Tuesday by the NBR (National Bank of Romania)when it cut its key interest rate to 7% a year, by loweringinterest rates on deposits, as well as on loans in RON.
Volksbank also reduced its interest rates to 9.5% on one-monthdeposits, and to 7.75% on three and six-month deposits. Greece'sPiraeus Bank also cut interest rates, with Millennium remaining theonly bank to offer a two-digit interest - 10% a year - onthree-month deposits.
The market has been much more swift in its response to monetarypolicy signals than in the past. Bankers explain this swiftadjustment by the anticipations created by the NBR that it willcontinue to cut its key rate, as well as by conditions on themonetary market, where interest rates fell towards 5% a year, withthe National Bank making sure the supply of RON is alwayssufficient.
"Because signals given by the NBR are very clear as far asinterests are concerned, rapid, large-scale responses are to beexpected. Interest rates of over 9% on deposits are not justifiedon the market. With banks still paying 9% or even more on many oftheir basic products, the cut is expected to amount to around onepercentage point," says Sorin Mititelu, in charge of Businessdevelopment and retail products with the BCR.
Banca Romaneasca made a decisive move, by cutting its base rateon RON deposits by two percentage points, to 9.38% a year. Thisindicator is used in calculating the cost of secured andnon-secured personal loans, with the bank adding margins of threeto six percentage points. As a result, interest rates on consumerloans now amount to 12.38% a year (on secured loans) and 15.38% onnon-secured ones.
Alpha Bank cut up to three quarters of a percentage point offinterest rates paid on individual clients' RON deposits, which nowrange from 8.5% to 9.25% a year.
On the other hand, analysts say uncertainties on the level ofinterest rates on the interbank market make banks reserved when itcomes to a swift adjustment in interests to clients, especially asfar as loans are concerned.
Pentru alte știri, analize, articole și informații din business în timp real urmărește Ziarul Financiar pe WhatsApp Channels
