The Stability of the Romanian Banking System: an Overview during the International Crisis of 2007

Financial stability is a primary objective of international decision-making process. The analysis and evaluation of the Romanian banking system is paramount, because this is the core of the financial market, which is in the process of European integration and shocks' propagation cross-border raises the level of systemic risk. In this paper, we try to underline the spillover effects of the international crisis of 2007 on Romanian banking stability through a distinct analysis of the risks generated by households respectively, by companies. The study highlights the fact that major challenge to financial stability is credit risk.