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OTP Romania clients opt into Swiss franc conversion scheme

MNB

More than 7,000, or 72%, of OTP Bank Romania clients holding FX loans denominated in Swiss francs opted into the bankʼs Swiss franc conversion scheme, the bank said yesterday, according to Hungarian news agency MTI.

At the end of 2015, OTP Bank Romania offered a partial cancellation of debt and lower interest rates to more than 10,000 of its clients if they converted their Swiss franc loans to Romanian lei or euros. 

The bank said clients on average received a discount of 21.2%. OTP Bank Romania set aside around RON 425 million (€95 mln) of provisions for the conversion scheme.

OTP Bank Romaniaʼs Swiss franc portfolio was worth around CHF 500 mln before the start of the conversion scheme.

The Romanian unit of OTP has a 2% market share in the country and serves 426,000 clients.

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