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Buffer rates for leading banks have not changed

By the decision of the NBM executive committee, CB Moldova-Agroindbank, Moldindconbank, OTP Bank and Victoriabank were again named as banks of systemic importance in Moldova," Logos Press reports.
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Buffer rates for leading banks have not changed

The decision to nominate is made annually based on the financial institution’s degree of influence on the financial system. For such banks, an O-SII buffer is established – additional capital that these institutions must hold to withstand stressful situations and minimize the risk of bankruptcy or lending.

The highest rate of 1.5% is already traditionally set for CB MAIB and 1.0% for CB Moldindconbank. The third place in terms of influence was taken by OTP Bank – 0.5%. CB Victoriabank fell to the fourth position with a buffer rate of 0.5%.

The decision was made on the basis of the regulator’s analysis, in accordance with the current methodology and in order to limit the risk of systemic impact of the leading banks on the financial system.


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