Cabannes, SocGen: We'll see if the BCR remains leader after the crisis

We will see if the BCR (Banca Comerciala Romana) will still be
Romania’s largest bank after the crisis comes to an end, says
Severin Cabannes, executive vice-president of Societe Generale, BRD
majority shareholder, asked whether the French group was aspiring
to become leader of the Romanian market. “We are patient. The
current crisis will change a lot, the BRD is in a position, which
will allow it to come out of the crisis stronger and I think the
difference will be apparent as early as next year. It remains to be
seen if the BCR remains number one,” said Cabannes. Midway through
the year, the BCR had a 20.46% market share, over five per cent
higher than BRD’s. The French banker says the BRD’s share of
non-performing loans continues to be lower than the market average,
and does not agree with scenarios expecting an up to 20% rise in
bad loans in the Romanian banking system by early next year.
Cabannes added that Societe Generale would continue to supply all
the necessary funding to the BRD, but did not wish to specify if a
share capital increase was being considered or not. In light of the
agreements sealed by the large foreign banking groups present in
Romania with the NBR (National Bank of Romania) and the IMF, the
SocGen official believes the systemic risk has been reduced to a
minimum on the Romanian market, so he does not see BRD as being
vulnerable, even in the event that a small bank would collapse.