The volume of new loans, in 11 months of 2017, has grown by 8,7% compared to the same period last year. This follows a 21.9% increase in loans in national currency. Individual loans in lei have grown by 34.4%, and business loans have grown by 15.5%. According to an answer provided to IPN by the National Bank of Moldova (BNM), this increase was determined by a decrease in interest rates for loans in lei, by an average of 4.1%, from 14.5% in 2016 to 10.4% in 2017.
Experts from Independent Think Tank “Expert Grup” note that the financial sector has maintained stability in 2017, although commercial banks are still under the effects of the crisis, both in terms of image and financial situation, firm reform actions by the National Bank of Moldova have halted the downward trend, and have even managed to partially rehabilitate credibility in the eyes of foreign investors. Furthermore, decreases to loan interest rates can stimulate the economy towards new investment projects.
An achievement of the banking sector in 2017, is the approval of the Law on banking activity. “This document is only a first step in raising national banking legislation to international standards and principles, which is to be followed by multiple amendments in banking activity oversight and regulation, aiming to strengthen the local banking sector,” mentions the reply of the BNM.
Experts further point out that the Law aims to prevent new banking fraud or manipulations. However, no matter how robust a Law is, there is no guarantee that the triggers of the 2014-2015 fraud and ulterior crisis will not occur again. There must be real willingness to respect and apply the law, says the Expert-Grup team.
