By Constantin Radut
It is true that in Romania, the National Bank (BNR) operates under a law which insulates she from the rest of society. The entire activity of the NBR is lacking in transparency and with the closed shutters The revenue and expenditure of this public institution are secret. The Court of Accounts has no access to the NBR. The Court of Accounts has no access to the NBR. From time to time, the Council of Administration informs that the Government is not aware of the restructuring of the national economy or that the Executive does not coordinate well either the economy or the finances.
The National Bank wants to have no obligation. For example, one of the goals was the inflation stabilization / targeting. With all its human resources (academics, university professors), the NBR has failed in the last decade to hit the level of the inflation. To keep it under control
Every time, BNR found a reason to go out with his clean shirt.
The laxism promoted by the NBR was exploited (and encouraged !!!) by commercial banks. We mention that Romania has a unique situation in Central and Eastern Europe: over 80% of commercial banks are entities belonging to foreign groups. The NBR has never been interested in this issue.
In this situation, commercial banks have made their own policy of exploiting opportunities in Romania. For many years, the commercial banks have not reported profit. If any government representative noticed this, he was excluded from office. Or he made hara-kiri by the Governor's image counsellors.
For some months, the government has shown that it is considering sanctioning commercial banks for ROBOR. This is an indicator that determines interbank interest. The higher the Robor, the higher the interest rates for loans to the population and SMEs. In recent weeks, the Robor level has grown so high that it minimizes the hope of customers to make loans to banks.
What were the commercial banks doing then with the money? They borrowed the state, the Ministry of Finance respectively.
In the last month of 2018, the Government approved an Emergency Ordinance that imposes additional taxes on commercial banks' assets if Robor exceeds 2%.
The spark of the scandal between the Government and the ... NBR. Why the NBR? Because the NBR is the defender of the commercial banks and not of the population or SMEs in Romania.
The Governor Mugur Isarescu expressed himself in no academic terms (though he is a member of the Romanian Academy!), saying that the Government Emergency Ordinance is a "craziness" and a "imbecility ".
Governor Mugur Isarescu put the entire Romanian Government on the wall. Unique case in the countries of Europe.
Moreover, in the last few days, with the direct support of the NBR, the national currency (RON / RON) depreciated substantially. Today, the weakest RON against the Euro was recorded.
The National Bank is not at all dissatisfied.
On the contrary, yesterday and today, Isarescu's dogs barked to the Government and, above all, to the Minister of Finance. They accuse the lack of professionalism and transparency.
A determined action by the Parliament is necessary for the National Bank of Romania to understand that it is not a Masonic organization.
The Parliament must decide that Mugur Isarescu is not Matusalem.
Former economist with no real stars, Mugur Isarescu has been the Governor for almost 30 years.
There is much, it is excessive.
Mugur Isarescu is an old man, he has no power for the position of Governor of the NBR.
This year there are elections with the NBR. We believe that Mugur Isarescu will have the common sense not to want another mandate at the head of the Central Bank.