The three-month Euribor, the indicator to which the cost of loans to customers is tied, has gone up to 1.17% from 0.6% in the summer of 2010, on fears of ECB raising the key rate for euros.

The loans in euros, which account for two thirds of the funding granted by banks to companies and individuals, will become more expensive this year, as the European Central Bank raises the key rate to fend off inflationary pressures created by the skyrocketing oil prices.

As far as a customer with a 30,000-euro mortgage loan repayable in 30 years is concerned, a one-percent interest rate increase starting from 5.8% per annum (the market average at the moment according to National Bank of Romania data) leads to an increase of the monthly instalment of 20 euros to 226 euros.

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