Erste sees improvement in Romania, Hungary - paper

VIENNA Jan 23 (Reuters) - Erste Group Bank expects improvement at its banking operations in Romania and Hungary this year, Chief Executive Andreas Treichl told a newspaper.

In an interview published by Wirtschaftsblatt on Wednesday, he said the Austrian lender had risks under control in Romania after big writedowns in 2011 and 2012.

"We wrote down the value of companies and believe that from purely the banking side 2013 will look significantly better. We forecast positive results for 2013," he was quoted as saying.

In Hungary, it remained challenging to operate in such a difficult political environment, he said. "I think it will look significantly better from the banking side in 2013."

Hungary's government has often tangled with banks by introducing unorthodox policies, including letting borrowers repay foreign-currency mortgages at below-market rates and slapping a stiff tax on lenders.

Treichl reiterated that acquisitions in central and eastern Europe - for instance in Serbia or Poland - were possible if the right target became available at the right time. (Reporting by Michael Shields; Editing by Mark Potter)