Romanian Lenders To Meet "First House" Financing Conditions With Parent Bks Funding - Ctrl Bker

The Romanian banks could meet the financing conditions asked by the Finance Ministry in the "First House" program only if they get large funds at low costs from the parent banks, the central bank's Financial Stability Unit Ion Dragulin said Thursday.

"If we look at the current resource costs and at the saving degree, there do not result financing solutions at 5%-6% interest rates. In lack of high financing at low costs, which only the stockholders could supply, we did not see such a program as viable. The interest exists, therefore the resources also exist," Dragulin said at the "Romania Financial Forum" seminar organized by MEDIAFAX and the central bank.
 
Dragulin also pointed out the lenders involved in the "First House" program claim they initiated negotiations with their parent banks and there is available financing and at costs meeting the Finance Ministry's demand.
 
The Romanian Government launched a program to guarantee the loans contracted for the purchase of the first home, within the maximum limit of EUR60,000, with the entire financing granted to this program reaching EUR1 billion.
 
The value of the offers submitted by the banks totaled EUR1.46 billion, higher compared with the maximum guarantee threshold of EUR1 billion set up by the Government.
 
The Finance Ministry received offers for the "First House" Program from 20 banks, namely BCR, BRD, Raiffeisen, CEC Bank, Alpha Bank, Volksbank, Banca Transilvania, Bancpost, Banca Romaneasca, Piraeus Bank, Leumi Bank, ATE Bank, Intesa San Paolo Bank, Credit Europe, OTP Bank, Unicredit, ING, Emporiki, Millenium Bank and Garanti Bank.
 
For euro-denominated loans, interest rates will be computed on EURIBOR (Euro Interbank Offered Rate) rates at three months plus a margin of maximum 4%, while for lei-denominated loans, interest rates will be computed on ROBOR (Romanian Interbank Offered Rate) rates at three months plus a margin of 2.5%.
 
EURIBOR is currently slightly above 1%, while the 3-month ROBOR rate was Thursday at 9.92%.

Sursa: Mediafax ; http://www.mediafax.ro/engleza/romanian-lenders-to-meet-first-house-financing-conditions-with-parent-bks-funding-ctrl-bker.html?6966;4613120

CEZ to borrow EUR 262.35m from several lenders for the wind park in eastern Romania

CEZ Romania, the local unit of the largest Czech utility CEZ inked a 262.35 million euro agreement for the 600 MW wind power park to be built in eastern Romania, the largest such park on land in Europe, a company release reads.

The loan is guaranteed by German Export Credit Agency Hermes and it matures in 15 years.

The purpose of the loan is to finance the export contract with a multinational supplier of German equipments used to build the wind park.

CEZ Romania will pump 1.1 billion euros to build  the largest wind power park on land in Europe, with a capacity of 600 MW.

The project is evaluated at 1.1 billion euros and CEZ is currently negotiating with the European Investment Bank (EIB) for a 200 million euro loan.

The park will be situated in the areas of Fantanele and Cogeleac in the southeastern region of Dobrogea, 17 kilometers from the Black Sea. Construction is due by the end of 2010.

CEZ Romania will operate in July the first turbine of wind power park, declared the park's project manager Ondrej Safar.

The wind power park will account for around 30 percent of the country's renewable energy, including hydro energy. Romania currently produces only 8KW from wind power.

The construction of the wind power park will be administered by Continental Wind Partners (CWP).

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