Market's stabilization, further work within Green Card system priorities for Moldovan government

Chisinau, 3 October /MOLDPRES/ - Prime Minister Pavel Filip and representatives of the Brussels Council of Bureaux today discussed the situation on the insurances market, current challenges and solutions to overcome them, the government’s communication and protocol department has reported.   

The PM noted that the guaranteeing of the stability of the insurance market was a priority of the cabinet. At present, this market goes through more positive changes, which are due to the joint efforts of the government, National Financial Market Commission and the National Bureau of Vehicles Insurers (BNAA). Pavel Filip said that, just as decision-makers had managed to stabilize the financial and banking sector, where serious investors have come, such as Banca Transilvania and the European Bank for Reconstruction and Development (EBRD), in the same way, stability and predictability would be insured in the non-banking sector as well.   

To this end, decision-takers have recently approved a strategy of developing the non-banking financial market and a plan of measures to strengthen the financial capacity of insurers. The implementation of these documents will bring positive developments on the non-banking market.    

„The market of insurers grows; financial guarantees are fulfilled and local insurers pay damage compensations. This means that things are moving in the correct direction. Where problems appear, we are ready to intervene,” Pavel Filip said.  

At present, the insurers market generates incomes, being able to fully cover the volume of obligations assumed and the Green Card insurance product is profitable.

The head of the monitoring committee of the Council of Bureaux from Brussels, Daniel Wernli, highlighted the efficient cooperation with the National Bureau of Vehicles Insurers and the importance to strengthen it. “We want BNAA to be strong, functional and a reliable partner,” Daniel Wernli stressed.   

The biggest challenge is the liberalization of the non-banking market, scheduled to start in July 2019. At present, decision-makers work to prepare the normative framework needed to this end, including in order prevent eventual risks.