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Domestic banks are using different standards when reporting financial data , which makes comparisons impossible
Domestic banks are using different standards when reporting financial data , which makes comparisons impossible and creates a lack of transparency on the market, says Sorin Popa, deputy chief executive officer of BRD - SocGen.
The relevance of certain indicators, such as market share in terms of assets, is questioned by most bankers, given that several players in the system "outsource" the loans granted to their foreign shareholders in order to avoid some of the regulatory costs imposed by the NBR (National Bank of Romania).
According to the BRD executive, several banks exclusively report operating incomes, which do not include risk costs and fail to publish indicators such as returns on equity and the cost/revenue ratios.
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