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Expert call · Head of Office Investment · Romania

Head of Office Investment, Romania: your answer wanted

The ECB raised rates by 25 bp at its 10 Sep meeting, effective 16 Sep: deposit rate 2.50%, main refinancing rate 2.65%, lifting the cost of financing a euro-denominated deal and narrowing the cushion the wider Bucharest yield appears to offer.

  1. What yield gap over Warsaw, in basis points, would your fund need to buy a Bucharest asset this quarter?
  2. Has that gap changed since the latest European Central Bank rate rise?
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