Moldova: Starting July 1st, the Central Bank will take over the control of insurance market

29 June 2023 — Andrei VICTOR
Starting July 1st, 2023, the NBM - The National Bank of Moldova will take over from NCFM - The National Commission of Financial market the control of non-banking financial markets, including the insurance segment, local media wrote.

Thus, starting next week, "The National Bank of Moldova will take over from the National Financial Market Commission some supervisory powers of the non-banking financial system. Deputies voted the draft law for the amendment of some normative acts, namely - the Law on the National Bank of Moldova and the Law on the National Commission of the Financial Market. According to the General Directorate of Communication and Public Relations of the Parliament, the new provisions will enter into force on July 1, 2023", informed.

According to the mentioned source, there is necessary a transition period for the NBM to organize its activity under the supervision of the new sectors. These are related to the licensing/authorization/issuance of approval for state registration, regulation and supervision of the activity of insurers, reinsurers and intermediaries in these fields, as well as the National Bureau of Motor Vehicle Insurers of the Republic of Moldova, savings and loan associations, credit offices of and non-bank lending organizations.

Currently, the respective activities are exercised by the NCFM. At the same time, following the adoption of the law, its authority will extend to securities issuers, professional participants in the non-bank financial market and capital market investors, and private pension funds.