BCR, the largest bank on the Romanian market is giving the first signal of a significant cheapening of corporate loans in RON since the beginning of the year, by cutting its reference interest rate by up to two percentage points, to a minimum of 11.5% a year. The high cost of loans, as well as the deterioration of the financial situation of companies had made it almost impossible for them to get financing from banks in 2009. The reference interest rate is an indicator considered in the calculation of the cost of loans, to which a margin is added, set based on the risk profile. "We have to do as much we can to encourage a relaunch of economic growth both by restructuring loans, cutting interest rates for clients, and by implementing growth-generating solutions and programmes," says Wolfgang Schoiswohl, corporate executive vicepresident of BCR. BCR will cut its fixed reference rate for new loans in RON by two percentage points on February 1st. In the case of the fluctuating reference interest rate, which applies both to new loans, and to existing ones, the decline amounts to one percentage point. Bank representatives specify the level of the reference interest rate can vary depending on the type of funding and on the duration of a loan.