WORLD BANK DRAWS ATTENTION TO RISKS IN MOLDOVA'S NON-BANKING FINANCIAL SECTOR

The World Bank (WB) draws the attention of the Moldovan authorities to the existing risks in the non-banking financial sector. According to the INFOTAG agency, in an economic review on the prospects of Moldova's economy, the bank's experts note the stability of the banking sector, but point to a slow recovery in lending activity.

“The banking sector maintains a high level of capital adequacy, liquidity and profitability due to high-yielding investments in government bonds, high interest rates and a prudent legislative and regulatory system,” the quoted report says.

The WB believes that risks from the non-banking financial sector require close monitoring and optimized supervision.

The economic review cited the 2023 budget deficit, which amounted to 5.2% of GDP, but remained below the target of 5.9%.