Erste: Romania’s Reaction To Shrinking Austrian Capital Inflows 'Understandable’

“I think his reaction is very understandable. If I’m the president of the country, I want to have banks in the country that are willing to support the economic growth of that country,” Treichl told MEDIAFAX by phone.

Romanian President Traian Basescu last week said that European banks made “huge profits” in Romania and leaving the country’s economy unfinanced would be a “lack of fair play.” Romania shouldn’t have to pay for the banks’ “greed,” he added.

Basescu’s comments came a few days after the National Bank of Austria recommended the country’s banks to limit lending to their subsidiaries in central and eastern Europe, linking future loans to growth in local refinancing.