The NBM has kept the countercyclical buffer rate for exposures from loans held in Moldova at 0%.
The National Bank informed about it, specifying that the Executive Committee of the NBM set the countercyclical buffer rate for exposures from loans held in Moldova, taking into account the indicative system for buffer as of the end of Quarter IV, 2021. Thus, in Quarter IV, 2021, the Loan/GDP ratio stood at 93.6%, while the deviation of the Loan/GDP ratio from its long-term trend registered a negative value of -10.2%. The level of the Loan/GDP ratio indicates the absence of cyclical systemic risks associated with excessive credit growth, which supports the decision to maintain the countercyclical buffer rate for relevant Moldovan exposures at 0%. At the same time, in order to properly calculate the countercyclical capital buffer inherent to the bank, banks should ensure adequate consideration of the countercyclical buffer rates applied to the states with relevant exposures from loans. The decision was based on analyses and studies conducted by the NBM aimed at assessing potential risks for the banking sector. The frequency of countercyclical buffer revision for Moldova is quarterly. The Decision of the Executive Committee of NBM regarding the establishment of the countercyclical buffer rate for exposures from loans in Moldova took effect on the date of adoption. // 28.06.2022 – InfoMarket
