National Central Bank Governor Mugur Isarescu: credits will be resumed but in a chaotic manner

Romania’s National Central Bank increased its 2010 inflation estimates from 2.6% to 3.5% and estimates for 2011 a 2.7% rate as cigarette prices increase, central bank governor Mugur Isarescu declared as he presented the inflation report. He added that the central bank maintained its two year inflation target to 3.5% and 3%.

Deputy governor Cristian Popa warned that in January inflation will exceed the value registered in December. He added that the correction will not last long. Isarescu underlined that the inflation rate will enter the targeted interval in the first part of the year.

He added that credits will be resumed as the central bank decreased its key interest rate but said that he cannot offer a precise date.