Half a million loans, closed and not renewed

Half a million consumer loans have been closed without being replaced with new ones since the end of 2008, when the first signs of the crisis emerged in Romania, until this March, according to the provided by the Credit Bureau, the institution that centralises data on loans granted to the population by banks and non-bank financial institutions (IFN). At present, individuals have 4.3 million consumer loans in progress, 10% fewer than in December 2008, when the amount peaked at 74bn RON (18.5bn euros). In late March 2010, the volume of loans stood at almost 71bn RON (17.3bn euros), down 2% in RON, and 7% in euros. The initial value of consumer loans amounted to 22.1bn euros, so that the average value of a loan reached almost 5,200 euros. "Loan demand is around 40% below the 2008 level. So far, I haven't seen any major changes from 2009. No significant increase has been visible for the time being," says Serban Epure, Credit Bureau general manager.