Lending does not create inflationary pressures

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Romanian National Bank (BNR) Governor Mugur Isarescu said on Friday that the resumption of lending in Romania will not have a significant impact on the inflation evolution.

“We do not believe that the lending activity could create pressures. The banks are still quite reluctant. Sooner or later, lending will be differentially resumed, depending on the bank, but it will not have a major impact upon the inflation”, Isarescu explained, during the presentation of the Quarterly Report on inflation.
He warned that, with respect to the fiscal policy, there is the risk of an upward deviation from the inflation level, “at least because of the endless discussions regarding the imaginary anti-downturn programmes”.

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