Business Review

Despite the interconnectedness of today’s globalized business world, the current debt crisis in which Greece is mired will have only a marginal impact on the local economy, say analysts. Besides, there are several significant differences between the two economies that should protect Romania from the threat coming from its exposure to Greece.

Anda Dragan

Despite the financial crisis eating into their disposable cash, Romanians are still interested in saving. The economic misery has changed their patterns of consumption, convincing them to pay much more attention to their personal finances.

By Anda Dragan

The listing of the Property Fund on the Bucharest Stock Exchange, which has been repeatedly postponed over the past few years, now appears imminent. However, there remain several issues to be resolved before the project is given the green light, like whether the listing should be done before signing the contract with the new fund’s administrator, who will be in charge of the evaluation and what the best price per share would be.

By Dana Ciuraru

Since the crisis hit Romania all lenders have been trying to reshape their strategies in order to survive the current downturn unscathed. Many things have changed in the way that financial players tackle the market. Business Review surveys some examples of the paradigm shifts on the local banking scene that have taken place in the last few years.

By Anda Dragan

With the tightening of conditions for securing a mortgage, today’s local banking market offers would-be home owners fewer opportunities to buy a house on credit. The higher deposits required, shorter loan periods and lower income multiples banks will lend are some of the difficulties that potential buyers may face.

With the banking scene looking almost the same as it did in 2009,lenders are still waiting for a recovery in the economic conditions on the local market this year. A revival among private sector players could give impetus to lending sometime in the second half of 2010.But expert opinion is split on the likelihood of this.

After many years of fierce competition between lenders to gain new market share and extend their coverage nationwide, a new era on the banking scene is beginning: the fight is now taking place in the virtual world. BCR is the first bank to have entered Virtual Bucharest, by opening a branch in Second Life.

By Anda Dragan

Anyone who has cash is in a position to make strategic acquisitions, which could mean gaining greater market share or penetrating new markets. But experts are warning entrepreneurs to make an exit from their business only if it is absolutely essential.

 Anda Dragan

Despite the current downturn, Romania continues to be attractive to large financial players. Although last year lenders preferred to exercise caution and avoid making any significant moves, 2010 could be a gantry for launching operations next year.

Dexia, the French-Belgian bank, announced that will put up for sale or close down its branches in seven East European states, including its branch in Romania, after its rating was revised downwards by Moody’s, according to European media reports.