The arrival of international groups in the banking market of Moldova promotes the introduction of new technologies, products and services, increases the efficiency of the banking sector, stimulates competition and forces the banking market to rapidly modernize - Octavian Armasu.
The Governor of the National Bank of Moldova said this while answering a question of InfoMarket agency in the framework of a general interview with the Moldovan media. InfoMarket asked the head of the National Bank how much we can consider ourselves financially secure and financially independent from interests that may conflict with the internal policy of the Moldovan state in the context of the transition of almost all its commercial banks under the control of foreign capital, and what tools the National Bank has to protect national interests and fight, for example, with a possible cartel collusion? Octavian Armasu stressed that at present the whole world is involved in a broad process of globalization, and any economic development of a state with limited resources can be achieved only in an open economy. This means the movement of technology, capital, labor between countries so that resources are placed in optimal conditions. “While considering the capital turnover, I’d like to note that the distribution of profits by investors is preceded by direct investment in the capital of banks, which is a positive movement in the country's balance of payments. Also, the entry of international groups into the domestic banking market is not limited to the acquisition of a share of capital. They continue to introduce new banking products and services that benefit customers and at the same time enhance the quality of corporate governance. This ensures the prudent activity of banks and, accordingly, the credibility of them on the part of creditors and depositors. At the same time, the introduction of new technologies contributes to the emergence of innovative products and services and the optimization of existing processes, which directly determine the stability and efficiency of the banking sector. This stimulates competition and forces the banking market to rapidly modernize,” stressed the Governor of the NBM. He said that an important achievement of the National Bank, after the banking sector reform and the transition to Basel III supervision standards, is that it got improved and strict rules and instruments both at the stage of approving new shareholders and key persons in the management of banks, as well as at the stage of supervision over banks' activities. // 14.06.2021 – InfoMarket
