● WEDNESDAY, January 9

Customs in 2018 collected higher incomes on a year before

The revenues collected by the Customs Service into the state budget in 2018 amounted to 21.4 billion lei, an increase of over 1 billion lei on 2017. The payments related to the management of VAT represented 67.1% of all the revenues. These were followed by the excise duties with 25.3% and the customs duties with 5.2%. The oil products sector continued to be the largest contributor to the state budget, followed by the tobacco sector and consumer goods.

● THURSDAY, January 10

Tax on transfer or use of realty can be paid online

The tax on the transfer or use of real estate can be paid online through the governmental electronic payments service Mpay as of January 3 this year. To pay this type of tax online, the taxpayer must access https://mpay.gov.md/Services/Service/VEN01, introduce the identifier of the application and the data requested in the form, choose the payment method and pay the tax. If the taxpayer has a digital or mobile signature, the lease contract can be registered online on the electronic fiscal services website www.servicii.fisc.md in the “e-Application” section. The private individuals who lease out or transfer real estate are obliged to register the lease with the State Tax Service within three days of the signing and to pay a tax of 7% of the value of the contract by the second day of the current month or in advance.

● FRIDAY, January 11

Balance of loans provided by commercial banks on the rise

At the end of last November, the balance of loans released by commercial banks was by 35.4 billion lei higher. The banking performance rankings are topped by the banks of systemic importance for the national banking and financial systems, namely BC Moldova-Agroindbank, BC Mobiasbancă and BC Moldindconbank. These excel mainly in terms of profitability and market indicators and account for about 82% of the profit made at sector level and for 61% of the bank assets. The rankings were compiled by experts of the independent think tank “Expert-Grup”. According to the rankings, the banks with the most solid capital basis in relation to assets are: BC Eximbank; BCR Chișinău and BC EuroCreditBank. The banks with the largest liquid assets are: BC Victoriabank; BC Eximbank and Moldindconbank. The banks with assets of the highest quality are: BC ProCredit Bank; EuroCreditBank and BC Fincombank. The banks with the highest return on capital are: Moldindconbank; Mobiasbancă and Moldova-Agroindbank, while the banks with the largest market share by the loan portfolio are: Moldova-Agroindbank; Moldindconbank and Mobiasbancă.

Octavian Armașu: Home loans grew more popular owing to smaller interest rates

National Bank governor Octavian Armașu said the higher demand for home loans on the part of citizens is due to the smaller interest rates and the support programs of the state. He developed the issue in a common interview given to the press. According to the governor, the rise in the number of home loans is also due to the implementation of the state program “First House” that enables the citizens of the Republic of Moldova aged between 18 and 45 to obtain loans for purchasing a home. Octavian Armașu said the low historical size of mortgage loans in Moldova should also be taken into account. The swift growth is also due to a smaller basis. In almost comparable countries, the size of home loans is much higher. In Lithuania, the home loans represent 37% of the portfolio, while in Georgia 56%. “The home loans are traditionally among the least risky loans in the portfolio of banks. The nonperforming loans now represent 4% compared with the average rate of 13% in the sector,” stated the governor.

Recovery of money from banks under liquidation is in full swing, NBM governor

The process of recovering financial resources from the three banks that are being liquidated is in full swing. Since the licenses were withdrawn on October 16, 2015, until November 30, 2018, Banca de Economii, Banca Socială and Unibank collected 1.698,8 billion lei, 421.6 million lei of which was obtained in a criminal case. To repay the emergency loans since the withdrawal of licenses until November 30, 2018, the National Bank of Moldova and the Ministry of Finance allocated 1.728,0 million lei, the governor of the central bank Octavian Armașu stated in a common interview for the press. Asked about the nonperforming loans at banks that represent 5.5% to 33% and about 13% on average in the system, the governor said the current rate of nonperforming loans is due to a number of reasons. In 2016-1017, the total bank loan portfolio decreased. Together with the repayment of high-quality loans of the bank portfolio and slow replacement of these with new loans, the relative share of nonperforming loans increased. Also, as a result of the comprehensive inspections carried out at licensed banks, some of the existing loans were already reclassified for prudential reasons.

Central bank suspends rights of shareholders of two banks

The Executive Board of the National Bank of Moldova on January 11 adopted two decisions concerning BC “Banca de Finanţe şi Comerţ” S.A. and BC “Energbank” S.A. by which the rights of some of the shareholders of the two banks were suspended for concerted activity, without the prior written permission of the central bank. Both BC “Banca de Finanţe şi Comerţ” S.A. and BC “Energbank” S.A. will continue to operate as usual and will provide the full range of services, including those related to deposits, lending and settlement. Both banks are well capitalized, stable and solvent. BC “Banca de Finanţe şi Comerţ” S.A. holds 3.7 % of the total bank assets, while BC “Energbank” S.A. 3.2%. The NBM decisions refer exclusively to the ownership structure. Similar measures to suspend the rights of shareholders were previously taken at other licensed banks of the Republic of Moldova, namely BC ”Moldova-Agroindbank” and BC „Moldindconbank” S.A.

● SATURDAY, January 12

Nonbanking lending sector is under transformation, NBM governor

The coexistence of the banking and nonbanking lending institutions on the same market is an absolutely natural phenomenon that is now being transformed, noted the governor of the National Bank of Moldova Octavian Armașu. According to him, the nonbanking lending organizations, owing to the small dimensions and the increased risk profile, have greater flexibility, lower processing costs and usually provide smaller loans. “Their markets in normal conditions are different to a great extent and the overlapping of activities is not critical,” Octavian Armașu stated in an interview with the press. In 2018, the regulatory basis of the given sector was laid by adopting the law on the nonbanking lending organizations that took effect on October 1 last year. “The reformation of the sector will contribute to establishing a healthy competition environment that would ensure balanced assumption of risks and would offer the clients different financing instruments amid the protection of consumer rights,” stated the governor.

More than 34,000 users ported phone numbers last year

In 2018, the number of subscribers who used the number portability service rose by 9,200 on 2017 to 34,200. The service enables any user of mobile or landline phones to keep the phone number when changing the provider. According to the National Regulatory Agency for Electronic Communications and Information Technology, 32,000 of all the ported numbers were mobile phone numbers, while 2,200 were landline phone numbers. As many as 2,900 numbers were ported on average a month last year. Of the 32,000 mobile phone numbers ported in 2018, over 14,000 were received into the own network by SA “Moldcell”, more than 9,500 by SA “Orange Moldova” and about 8,400 by SA “Moldtelecom” (Unite). At the same time, of the 2,200 ported landline numbers, 810 were ported from SA “Moldtelecom”, 634 from SRL “StarNet Soluții”, while 405 from SA “Orange Moldova”.