The National Bank of Romania (BNR) will provide assistance to the National Bank of Moldova under a five-component, highly technical twinning project, BNR governor Mugur Isarescu told an online event on Tuesday.
"The twinning project we are launching today has a wide scope that covers not just the banking sector, but the Republic of Moldova's entire financial market. It aims to benefit both the National Bank of Moldova and the country's National Financial Markets Commission, by strengthening institutional capacities and governance, as well as through the development of the regulatory, supervisory and operational framework for enhanced functionality. From my perspective, after 1990 the National Bank of Romania has gained a solid experience and expertise, with the support of its EU partners - including the Central Bank of the Netherlands I'd like to make a special mention of. It's our turn and duty now, as a senior partner, to pass it on to the Republic of Moldova through this project, and we are able to do this efficiently, having the advantage of the shared Romanian language. There is a remarkable team involved in this complex project that spans two years. The activity will cover five components with a high degree of technicality, in the sphere of financial macrostability, prudential supervision, the non-banking financial sector, the internal regulatory supervision framework and the regulatory framework for payment infrastructure and its operation at European standards," said Mugur Isarescu.
The BNR governor mentioned that through this new twinning program, the financial-banking system of the Republic of Moldova will strengthen its convergence with international prudential financial requirements and will continue to align with EU standards in pursuit of macro-financial stability and strengthened prudential supervisory framework, of the development of prudential insurance supervision, the extension of the legal framework for the supervision of non-bank lenders and the improvement of the payment framework in line with the requirements of the Single Euro-Payments Area.
Under the two-year EU-financed project titled "Strengthening supervision, corporate governance and risk management in the Republic of Moldova's financial sector", the National Bank of Moldova and the Moldovan National Financial Markets Commission will benefit from assistance from EU partner institutions gathered in a consortium consisting of the National Bank of Romania as project leader, the Central Bank of the Netherlands and the Central Bank of Lithuania, in cooperation with the Romanian Financial Supervisory Authority and the National Consumer Protection Authority. This project will help the National Bank of Moldova and the Moldovan National Financial Markets Commission to further develop their capabilities, following EU best practices to ensure a high level of financial sector stability for the benefit of citizens and businesses.