“Our target is 9th place by September and 8th by the end of the year. Even fifth place is feasible in the next two years,” he said.
To advance to the banking top five, the Romanian branch of Austrian bank Volksbank relies on retail and consultancy services for investments, a business line in which the bank plans to invest in the short term. “We might even have a special unit for this operation. For example, there are currently very few investors on the capital market,” Schreiner added.
Volksbank officials also said yesterday that as of July the bank will grant loans in accordance with new credit regulations approved by the National Bank of Romania (BNR). Thus, clients could pay interest rates worth up to 65 percent of their income, in relation to their risk level and earnings. Furthermore, the bank will be allowed to grant mortgages with no down payment.
According to data provided by Volksbank Romania, its assets amounted to €1.77 billion in the first quarter of 2007. The bank targets gross profit this year worth €22.11 million, compared to €13.7 million by December 2006. Assets are forecast to amount to €2.3 billion in 2007, from €1.38 billion at the end of 2006.
“Our target is 9th place by September and 8th by the end of the year. Even fifth place is feasible in the next two years''
Gerald Schreiner President, Volksbank Romania
