Risks of penetration of “inappropriate” investors into the banking system of Moldova have significantly decreased – the NBM.
The Governor of the National Bank of Moldova (NBM), Octavian Armasu stated this while answering a question of InfoMarket agency in the framework of a general interview with Moldovan media. In the context of the preparation of the largest Moldovan bank for an IPO on the international stock exchange, the Governor of the National Bank was asked how, in this case, the NBM will monitor compliance with the provisions of the Moldovan legislation: will buyers of shares put up for IPO on an international exchange receive the NBM permission when buying shares over 1% from the bank's capital, how buyers in Moldova should obtain this permission, and if the NBM does not have such a mechanism, how in this case the provisions of Moldovan legislation will be equally applied to all shareholders of banks, including those who, in the event the bank's IPO abroad will acquire its shares, given that Moldova also has a law on joint-stock companies, which provides that when selling shares of joint-stock companies, existing shareholders have the priority right to purchase them. In this regard, the Governor of the National Bank of Moldova noted that the 1% restriction of the right to purchase shares in banks without the permission of the NBM was introduced to reduce the risks of penetration of “inappropriate” investors. “Now I would not categorically assert that attempts by such investors to enter the banking system can no longer exist in Moldova. But I can say with full responsibility that these risks have decreased to a greater extent. Perhaps they will be reduced to a minimum when large-scale reforms are carried out in the justice system,” said Octavian Armasu. He drew attention to the fact that, on the other hand, we should not stand aside and should develop. “As far as possible, we must attract new investors to the banking sector. This is a good deal for the country, the economy and the banking system. We, at NBM, will look for solutions in order to make such development possible in the banking sector. But at the same time, we will not reduce the vigilance of the regulator, protecting the country from unwanted investors who would like to penetrate the capital of local banks. I cannot talk about a specific technical solution of the NBM in this matter. I can say that we are thinking about it, we are facing such a task and we are currently working on it,” the head of the National Bank emphasized. According to him, at present, the national regulatory framework on the activities of banks has been coordinated with the European one, providing potential investors with predictability of the rules for investing in the capital of Moldovan banks. Requirements for access to the banking market provide for fair treatment of both local and foreign investors, without discrimination or preferential treatment. At the same time, the law provides the National Bank of Moldova with the mechanisms necessary for the supervisory authority, which can be applied to persons who have acquired significant stakes in the capital of banks in violation of the regulatory framework. // 12.01.2022 – InfoMarket
