PSD suggests central bank should support financial and banking sector

The current parliament should not dissolve until a law is adopted whereby the National Bank of Moldova would be obliged to support the financial and banking sector, thinks Social Democratic Party leader Dumitru Braghis. At a news conference on Thursday, Barghis suggested in particular that the National Bank should lend 2 billion lei to commercial banks to boost financing. “If our proposal is ignored and left unimplemented by the current government, the financial and banking system and the national economy run the risk of facing total decapitalization. In a couple of months at the most, the losses incurred by the commercial banks and the companies dealing in the real sector of the economy will so big that they will exceed manyfold the amount of money needed today to rescue them”, Braghis warned. The Soc-Dem leader concluded that “amid the acute political crisis, the effects of the economic crisis appear to be extremely dangerous for the economic and social life of the republic”.