Romania, second largest consumer credits market in Eastern Europe

The Romanian consumer credits market is the second largest in Eastern Europe, after the Polish market. A survey conducted by Global Insight forecasts the Romanian market of consumer credits will reach 13.6 billion euros in 2007, a performance aided by a spectacular rise in consumption. Poland is top of the list among the new EU members, with a volume of consumer credits worth 20.5 billion euros. The Global Insight study places Hungary third, with 9.7 billion euros and, below it, the Czech Republic, with 8.8 billion euros in consumer credits. Car loans account for 45% to 50% of the total volume of consumer credits in Romania, Hungary, Poland and the Czech Republic, shows the study. On the Romanian market, consumer credit remains much more dynamic than classic real estate lending, which differs from the trend on mature markets. However, bankers expect to see an increase in the demand for real estate financing, while consumer credits are expected to reach a cap.