The National Bank of Moldova has set 6 priorities for banking supervision for 2023
As noted in the press service of the National Bank, in particular, the NBM will continue this year to carefully monitor the activities of licensed banks to ensure their good capitalization and stability. And this is in the conditions in which the domestic banking system ended 2022 with good financial results, maintaining all prudential indicators above the regulated limits. Thus, the priorities set for 2023 include: maintaining an adequate level of liquid assets; identification and proper management of credit risk; prevention and combating money laundering and terrorist financing; the applicability of internal stress tests and the degree to which they are consistent with macroeconomic conditions; assessment and elimination of vulnerabilities associated with payment systems and payment services, etc. The efforts of the National Bank will take action in the context of the trends in the digitalization of payment services and the modernization of the automated system of interbank payments, as well as the implementation of the instant payment scheme in the near future. At the same time, the NBM will ensure that banks effectively test their business continuity plans and demonstrate the ability to maintain bank sustainability for all ongoing operations. As noted in the National Bank, the numerous shocks that Moldova underwent in 2022 led to an increase in uncertainty regarding the development of the economy, as well as increased risks in the banking system. Effective management of the immediate consequences of the war in Ukraine, as well as those caused by inflation and the COVID-19 pandemic, was one of the main concerns of the National Bank in 2022. Thus, despite the negative external factors, the performance of the Moldovan banking sector turned out to be above the regulated limits, reflecting the resilience of the sector in the result of recent reforms. The NBM indicates that the current situation requires a high degree of caution on the part of both banks and supervisory authorities. Thus, in order to ensure the stability of the banking sector and taking into account a balanced assessment of significant geopolitical, energy, inflationary and macroeconomic risks, the National Bank of Moldova has established 6 priorities in terms of supervision. In particular, in 2023, the banking supervision process will be aimed primarily at achieving the following goals: I. Identification and adequate management of credit risk and limitation of household debt; II. Maintaining an adequate level of liquid assets; III. The applicability of internal stress tests and the degree to which they are consistent with macroeconomic conditions; IV. Analysis, assessment and elimination of vulnerabilities associated with payment systems and payment services; V. Prevention and combating money laundering and terrorist financing; VI. Effective identification and management of risks associated with information and communication technologies.// 17.01.2023 — InfoMarket
