Access Investments-European Union- ROMANIA

Consumer lenders and leasing firms lost 27,000 clients last year, namely a fifth of the number of clients they had in late 2009, as the number of newly-sealed contracts was much smaller than the number of maturing ones.
Non-banking financial institutions (NBFIs) in late 2010 had approximately 112,000 clients left, with the sums these owe standing at 19.7bn RON (4.6bn euros), down 4bn RON (around 960m euros) from the same period of 2009, in line with NBR data.
"The number of clients and the value of funding decreased last year mainly on the prolonged economic downturn and the implementation of Ordinance 50 on consumer loans. (...)," stated Răzvan Diaconescu, general manager of Impuls Leasing.
The number of loans granted and of commitments made by the NBFIs saw an even steeper decline, with over 64,000 contracts ended last year without being replaced by new ones. Many leasing contracts were terminated before maturity because clients no longer paid their monthly instalments and creditors repossessed the financed goods in order to resell them later.
However, leasing companies expect things to improve partially this year.
"My estimates are that the leasing market ended last year somewhere around 1bn euros, but in 2011 we may see a 20-30% plus if economic growth expectations materialise," says Felix Daniliuc, general manager of Raiffeisen Leasing.
In 2008, the market had climbed to 4.8bn euros.