The National Bank of Moldova (NBM) in the course of this year will analyze key indicators in the work of entities operating in the nonbank lending sector, focusing on several components. These include business model, governance and internal control, related risks (credit risk, operational risk, market risk) and capital adequacy, IPN reports.

The institution said that it set priorities on which the supervisory process in the nonbank lending sector will focus. These refer to compliance with the requirements of the regulatory framework and risk assessment related to nonbank lending activity, the reporting process and data analysis at individual and consolidated levels, prevention and combating of money laundering and terrorist financing.

Thus, the National Bank will verify compliance with the requirements stipulated by the applicable regulatory framework and internal regulations of the entities concerned.

“At the same time, the central bank during the year will conduct informative sessions with specialists in the field of nonbank lending to promote awareness and continuous education in supervised entities in preventing and combating money laundering and terrorist financing,” the NBM said in a press release.

The National Bank of Moldova took over the responsibility for supervising nonbank lending and insurance sectors as of July 1, 2023. The nonbank lending sector of the Republic of Moldova includes nonbank lending organizations and savings and loan associations.