Risk and Uncertainty in the Banking Sector: Evidence from the Romanian Banking System

This research analyzes the distinction between risk and uncertainty within the Romanian banking system, utilizing recent data from 2024. The study examines key prudential indicators, specifically the Non-Performing Loan (NPL) ratio, interest rate risk, and liquidity metrics (Liquidity Coverage Ratio—LCR and Net Stable Funding Ratio—NSFR). The results indicate that while consumer and SME segments show higher vulnerability to interest rate fluctuations, the corporate sector remains stable. Furthermore, the system maintains robust liquidity positions, consistently exceeding regulatory thresholds. It is concluded that aggregate risks remain manageable, though flexible management strategies are essential to navigate future economic volatility.