GDP to lose 0.06% if key rate is increased by 1 percentage point

A 3 percentage point increase would lead to a 0.18 percent slowdown on economic growth, while a 20 percent depreciation of the leu would cause losses of 0.05 percent in gross domestic product (GDP). However, a sudden 30 percent depreciation would propel losses up to 1.95 percent of GDP, according to scenarios by the central bank. Companies operating on the foreign trade segment stand to lose RON 170 million (€48.3 mln) in the case of a 20 percent depreciation and RON 3.4 billion (€0.9 bln) if depreciation reaches 30 percent.

Companies in the trade and services fields face the lowest risks in case of an increase in the key rate, which would lead to higher interest rates on loans. The highest risks will be faced by companies in the agriculture and energy fields, which account for 8 percent of total loans granted to companies.