EBRD: Romanian will have a 1 % economic growth in 2010

EBRD estimates that Romania will register a 1 % growth in 2010, but unemployment claims will continue to grow, considering the Romanian companies are not prepared for new hires.

"I think you've gone through the worst of this crisis" said bank's chief economist Eric Berglof, in Bucharest.

Romanian lenders’ main challenge ahead is to offer long-term loans in Romanian lei, because is unhealthy for households and companies to be borrowing in foreign currency while their income is in lei, an official with the European Bank for Reconstruction and Development said Wednesday.

EBRD's chief economist Erik Berglof said Romanian banking sector reacted well to the financial crisis and the parent lenders' actions to support their local subsidiaries are closely monitored.

The situation is stable and the banks have taken commitments on the long term in Romania, Berglof added.

He said it is only natural that the parent bank's exposure to Romania will see a slight reduction on the short term, given that this is a direct consequence of falling demand.