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PM Boc hopes to see lending re-launched in June or July


Prime Minister Emil Boc on Tuesday said he hoped Romania would see lending re-launched from June or July and he called on the foreign banks that have resident units in Romania to meet their pledge not to withdraw their money from the country.
‘Several regulations of the National Bank of Romania will take affect after May 24 to allow the re-launch of lending.

I hope and I’m certain the banks based in Romania will meet their pledge not to withdraw their money from Romania as a result of the cut in the minimal mandatory reserves or of other measures the Romanian authorities are taking and that they will keep their credit lines.

Such unblocking of lending will become operational from June or July’, Boc told the public radio.

The prime minister said the Government will take a range of measures, starting Wednesday most likely, when the Executive holds its weekly meeting, in order to back the SMEs with a view to re-launching lending.

‘If the foreign banks’ branches based in Romania will not understand that Romania needs such financing resources, that it is their obligation to keep their credit lines, the Government will not sit and watch, but it will take those legal measures meant to make the banks meet their obligations’, Boc warned.

He explained the Government could enforce several ‘tough’ measures, with one of them being the over-taxation of profit, i.e. the so-called ‘Robin Hood’ tax.

‘We hope we’ll not reach such a situation, since we, as the state, cannot just sit and watch how some fail to make an effort in solidarity with all the Romanians, in order to overcome this difficult times.

If the commitment to keep the credit lines and the money in Romania is not met, the Government is ready to take tough measures. I hope such a thing will not happen and at this moment I have no reasons to doubt that this commitment would not be met’, the prime minister stressed.


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