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Romania's banks in foreign hands

Romania's bank sector is regarded as the country's most developed economic sector in terms of compliance with European norms and standards. The reason for this is that almost all Romania's banks are now owned by Western European finance groups. According to Ilie Serbanescu, this is having an impact on the nation's entire economy. "Domestic capital, whether it was good or bad, has been pushed to one side. Foreign banks have brought cheap money into the country through their parent companies and this allows them to charge low interest for loans. ... But this is bad for financial and economic policy. The country has no such thing as an interest rate policy. Romania's national bank has become hostage to the interests of commercial foreign banks. Its efficiency has been reduced to zero."

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