The share of financial intermediation in GDP was about 30 percent in 2006, the lowest value in the European Union. The regional average in Central and Eastern Europe was approximately 50 percent last year, compared to a 110 percent level in the euro zone. Top positions in Central and Eastern Europe belong to Latvia and Estonia, with a ratio of financial intermediation in GDP exceeding 80 percent.
Lenders in Romania meet less than 10 percent (in euro) of companies’ needs, compared to 20 percent in the euro zone. The financing structure of Romanian companies in 2006 included 40 percent own capital, up to 10 percent bank loans, and the remainder obtained from other sources.
In the euro zone, own capital accounted for 60 percent and bank loans for 20 percent of the company financing sources in 2006.
The study quoted by Isarescu indicates that large companies rely more on own funds, and take out fewer bank loans, compared to small enterprises.
Loans in lei exceeded the 50 percent threshold of total loans for small and medium-sized companies in 2006, compared to 35 percent in 2004. At the same time, the ratio of loans in euro and dollars dropped.
Study
The study quoted by Isarescu indicates that large companies rely more on own funds, and take out fewer bank loans, compared to small enterprises.
