Ionut Costea: “Almost 20% increment of financing granted”
175% surge for companies cover
Bucharest, October 28, 2010 – The financing granted by EximBank in the first nine months of the year marked an increment of almost 20% from last year-end as against 6.2% average increase per banking system while guarantees commitments in the same period went up by over 16%.
„We believe significant progress has been recorded concerning the support extended by EximBank to commercial companies and it is worth mentioning that in the year-to-year period 2009-2010 as the peak of the crisis, the amount of guarantees extended to commercial companies leaped nearly five times from the year 2008, while the credit balance doubled”, said Ionut Costea, president of EximBank.
He also added that the uncertainty prevailing in the external markets has emboldened exporters to seek special instruments to mitigate related risks which has boosted EximBank activities in the insurance sector by 175% this year.
The CEO of EximBank specified that the average interest rate associated with the loans granted by the bank is poised around 9.5%, considering the average rate for the balance of RON credits in the first 8 months of the year 2010 per banking system as 12.14% with non-financing entities.
„Such results have also been recorded to great extent by means of the reshuffle process undergone by the bank, namely by cutting expenses and mostly by improving internal proceedings. Presently we are in a position to meet all requirements of companies in need of financing, guarantee or insurance. We are well aware that the economic operators are somehow reluctant to deal with a State bank. However, I would like to prompt them to apply to EximBank, to see for themselves that bank’s attitude towards customers has changed alongside with a curtailed bureaucracy and a product portfolio tailored to market demands”, pointed out Ionut Costea.
EximBank is a specialized institution whose threefold product portfolio focused on financing, guarantee and insurance, enables it to grant assistance to current activities and development of exporters, SME-s and companies involved in projects pertaining to key economic sectors, particularly those contributing to the absorption of EU funds.
The financing package of the bank includes both standard credits for current activities or investment and particular products as State Aid, such as: credits with subsidized interest rate and partial offset of interest rate allowing for retrieval of up to 50% of the rate paid for Lei investment loans engaged with banks,
State guarantees provided by EximBank are meant to support those companies in need of loans but lacking enough collaterals.
As for insurance, EximBank covers both commercial and political risks likely to occur during international trading deals or while the investment projects of Romanian companies are being implemented abroad.
Companies expressing an interest in EximBank products may apply directly to the territorial units of the bank, located in Bucharest, Bacau, Brasov, Constanta, Cluj, Craiova, Timisoara, Buzau, Oradea, Deva and Iasi. Likewise further information may be reached at the website www.eximbank.ro or the address firstname.lastname@example.org on particular products and documents.
Banca de Export- Import a Romaniei EximBank S.A. PR & Marketing Dept. 28 October 2010