Volksbank’s Exposure To Romania Reaches EUR3.5B - VP

04.27.2011 By Florentina Dragu

Austrian Volksbank’s exposure to Romania reaches EUR3.53 billion, covering over 70% of the assets of its local branch, an official of Volksbank Romania said Wednesday.

Austrian Volksbank's exposure to Romania reaches EUR3.53 billion, covering over 70% of the assets of its local branch, an official of Volksbank Romania said Wednesday.

"The group's exposure to Romania has been constant this year, as we haven't reimbursed anything. Thus, the group's exposure stands at EUR3.53 billion, of which EUR2.5 billion represents loans, EUR320 million is invested in state treasuries and the remainder is used to cover the minimum reserve requirements," said Lucian Cojocaru, vice-president in charge with retail operations at Volksbank Romania.

Founded in 2000, Volksbank Romania is majority owned by Volksbank International, the eastern European arm of Osterreichische Volksbanken.

Volksbank International operates in nine CEE states, namely Romania, Slovakia, the Czech Republic, Hungary, Slovenia, Croatia, Bosnia and Herzegovina, Serbia and Ukraine.

End-2010, Volksbank International reported total assets in Romania of EUR4.8 billion, down 7.7% on the year.

The lender posted total loans of EUR3.2 billion, while overall deposits stood at EUR580 million.