Overdue loans climb 14% in Galați and Ialomița

Bankers are experiencing the biggest troubles in Galați and Ialomița counties, where the share of overdue payments exceeded 14%, almost double the market average.
The high unemployment rate and bankers’ imprudence in times of economic growth continue to put pressure on the quality of loan portfolios, with the share of overdue loan payments now being double-digit in some counties, show data from the NBR (National Bank of Romania).

Overdue amounts on the entire market climbed to 17.5 billion lei (4.2 billion euros) at the end of February, accounting for 8% of overall loans granted to the individuals and companies.
The biggest rate of overdue payments was recorded last month in Galați county, where overdue payments amounted to 14.1% of overall loans, up 0.3% against the end of January, with clients’ overdue loans amounting to 568 million lei. The unemployment rate was 9.4% in the county at the end of February compared with a national average of 6.6%, largely because of the dependence of the economy on just a few industrial sectors.