OREANDA-NEWS. March 14, 2013. Such an initiative was put forward by the National Bank of Moldova in order to establish tougher control over various risks in the banking sector, including the credit one.

The draft concept of the Risks Centre in the banking system was presented for open consultations. According to NBM, Central Bank of Moldova is committed to develop a strong and competitive financial system at minimal possible risks. The banking sector of Moldova is exposed to various risks and credit ones are presented by the biggest share among them. To establish a tougher control over the risks the National bank of Moldova proposes to create a special central body – the Risks Centre.

Establishing this body will enable NBM to obtain prompt and full information which will underlie a general level of risks for each bank and more efficiently assess credit risks. Information provided by the register of the credit risks will help the National Bank of Moldova to assess and monitor credit risks threatening the banking sector and groups of banks. This, in its turn, will create opportunities for optimization of the prudential regulation and consolidation of supervision over the banking sector in the framework of the macro-prudential control over lending in the banking sector.

This will also help to lessen pressure on licensed banks on the side of control bodies since they will be able to obtain information from the data system of NBM instead of requesting it from banks. According to the National Bank of Moldova, the reliable and prompt information about exposure of banks to these or those risks will play the most important role in mitigation of loan risks. The National Bank will be able to use a complex data system to identify key risks for loan portfolios.