Regulatory Alerts2018-06-04
Regulation on Banks' Operational Risk Treatment Under the Basic Indicator and Standardised Approaches
The National Bank of Moldova issues this regulation to standardize how banks calculate operational risk capital under the Basic Indicator and Standardised Approaches, specifying eligible income elements, eight designated business lines with assigned beta factors, and mandatory documentation for transitioning to the Standardised Approach. Banks must submit a signed self-assessment confirming compliance, an internal audit report on risk management suitability, and COREP form C16.00 to accurately map activities and calculate relevant indicators for each business line. The framework further requires clear internal policies for activity mapping, indicator determination, and independent reviews to ensure consistent operational risk capital allocation across banking operations.