Liquidity and market risks are assessed as low in Moldova, with banks having sufficient reserves to maintain liquidity even in stress scenarios - the NBM
According to the National Bank, this was discussed during the latest extended meeting of the National Committee on Financial Stability, which aimed to assess risks related to the financial sector and develop measures to maintain financial stability in Moldova. During the meeting, information was presented on the risks in the banking sector as of March 31, 2025, assessed in relation to the interim targets of the Macroprudential Policy Strategy. It was emphasized that in the first quarter of 2025, credit risk remained moderate, with the non-performing (problem) loan ratio (in accordance with national prudential rules) increasing by 0.2 percentage points compared to the previous quarter, reflecting the relatively stable quality of the loan portfolio. According to International Financial Reporting Standards (IFRS), this indicator remains at 1.9%, which is comparable to the regional average. Bank lending continues to grow at an accelerated pace, driven by increased demand from both individuals and non-financial companies. Liquidity and market risks are assessed as low, with banks having sufficient reserves to maintain liquidity even in stress scenarios. As noted by the NBM, the industry concentration index has decreased slightly, reflecting low concentration risk thanks to sufficient diversification of loan portfolios and a balanced distribution of risks across economic sectors. The risk of potential impact from difficulties faced by systemically important institutions remains low. According to the decision of the NBM Executive Board, the list of systemically important banks has been updated but still includes four banks, which account for about 84.5% of the banking sector's total assets. At the same time, based on the accumulated systemic importance scores, the O-SII capital buffer rates for two of these banks have been revised. It is emphasized that systemically important banks continue to comply with the NBM's liquidity and capital requirements, demonstrating reliable stability. The National Committee for Financial Stability took note of the information presented. // 07.07.2025 – InfoMarket.
