“I want to inform you that the effects of the crisis are beginning to be felt in Romania as well, following the postponement to 2009 of the decision on the Voestalpine investment. This is the first element that has made itself glaringly obvious in connection with a series of major investment projects,” added Tariceanu.
Following the suit of stock markets around the world, Romania’s stock exchange dropped sharply in the first half of its session, although a rise in the second half brought indices back to stagnate.
The banking sector, which until now showed no signs of weakness, is trying to identify solutions to maintain a high level of trust among despositors. Radu Gratian Ghetea, President of the Association of Romanian Banks (ARB), yesterday proposed to the Minister of Justice, Catalin Predoiu, that any denigration of banks be punishable by the Penal Code.
Meanwhile, Standard&Poor’s revised downward to “negative” from “stable” the outlook for Romania’s largest lender in terms of assets, Banca Comerciala Romana (BCR), and its majority shareholder, Austrian-based Erste Bank, due to a rise in regional risk.
