Pages: 7-15
Introduction. This paper investigates the effects of monetary policy on bank financing of Romanian companies, focusing on how policymakers influence by their monetary policy decissions the credit allocation to Romanian businesses, and consequently the performance of the economy. The object of this research is to understand the dynamics between monetary policy adjustments and their consequences on the availability and conditions of bank loans to Romanian firms. The methodology employed involves an econometric analysis using panel data from National Bank of Romania over the period December 2019 – September 2024. Key variables such as monetary policy interest rate, inflation rate, money supply, and credit growth are examined.
Aim of the study. The findings suggest that policymakers need to consider the extensive significance of monetary policy decisions on the corporate financing environment. By understanding these dynamics, banks and companies can better navigate the challenges posed by changing monetary conditions, ultimately promoting a more stable and resilient financial system.
