The central bank profited from placements with banks, but alsofrom selling euros at 4 RON, above the purchasing price of years2006-2007.
The National Bank last year generated a record-high gross incomeworth 4.6bn RON (around 1.1bn euros), from which it coveredprevious 2.8bn RON losses, and transferred 1.5bn RON to the statebudget as taxes, stated Florin Georgescu, NBR primedeputy-governor.
Mugur Stet, NBR spokesperson, said he could not make anycomments until he knew the profit components.
NBR Governor Mugur Isarescu last November stated the NBR derived"huge gains" from forex market interventions, selling euros tobanks at rates of above 4 RON/euro, which it had bought duringprevious years at prices below this level.
"The profit was not generated from reserve management, but fromthese operations. And we now have the average (purchasing i.e.)rate at below 4 RON for a euro. Any foreign currency sale means ahuge gain," said Isarescu.
"It would be unfortunate for the central bank to focus ongenerating profit, to turn this into an objective. The NBR hasother objectives, it is not a commercial bank. It is a big mistaketo look if the central bank is generating profit or losses becausesecuring macroeconomic stability is 'priceless'. The problem is notthat the NBR's profit is so big, but we must see how we can makethe private sector make bigger profits. We must support theeconomy, so that it may generate profit. The Federal Reserve alsogot record high profit through loans to banks," comments LucianAnghel, chief-economist with BCR.
The NBR's position as net lender to banks also helped it obtainthe record profit, as it granted loans worth billions of RON atinterest rates of 14% in the first half of 2009, and paid 6% atmost for attracted deposits and RON minimum compulsoryreserves.
In December alone, the NBR granted banks loans worth 24bn RON at12% per annum and attracted deposits worth 990m RON at 4% per year.
Pentru alte știri, analize, articole și informații din business în timp real urmărește Ziarul Financiar pe WhatsApp Channels
