Banks borrow one another to cover their liquidity needs of the moment or to sterilize liquidity and additional available. The need for liquidity can occur when a bank recorded a higher number of loan applications from customers, or in certain periods when the National Bank of Romania (BNR) requires minimum liquidity requirements in the system. Note that when lei market demand is high (due to the higher number of loans population) automatically increases the demand for liquidity and the ROBOR. Inflation and interest rates set by the central bank is necessary to cover reserve requirements are other factors that influence the evolution of ROBOR.

As listed on, in case of a credit in lei, Romanian banks set monthly rate that clients have to pay according to ROBOR plus a margin percentage that actually is the risk that banks and customers profit margin bank wants. BNR announces daily eight ROBOR levels, but the most used is the month ROBOR (ROBOR 1m) and the ROBOR at 3 months (3m ROBOR).

Regarding EURIBOR, it represents international interbank interest rate for the euro, ie the interest rate at which a large number of banks shall afford one another loan to finance current operations. If ROBOR is announced by the central bank, EURIBOR is announced by the European Central Bank (ECB).

EURIBOR level is determined based on the average interest rates at which they lend to each other about 50 large European banks. Banks are selected according to strict criteria so that media and their interest to be as representative of the European Region.

In general, if a bank loan is in euros, the commercial bank sets the monthly rate according to EURIBOR 3 months (3m EURIBOR) or EURIBOR 6 months (6M EURIBOR) that add risk margin / profit.

ROBOR and EURIBOR indexes are very important in credit agreements because depending on them it changes the monthly installment of the loan.