Regulatory AlertsRegulation on Banks' Operational Risk Capital under the Basic Indicator and Standardised Approaches
The Executive Board of the National Bank of Moldova issued Decision no. 113 to establish capital requirements for operational risk, mandating that banks calculate their own funds using either the Basic Indicator Approach or the Standardised Approach. The regulation defines calculation methodologies based on three-year averages of relevant indicators and business-line-specific beta factors, while outlining strict criteria for prior approval, notification procedures, and the permissible reversion or combined use of these approaches. Applicable to all Moldovan banks and foreign branches, the framework transposes key European Union prudential standards and takes effect on 30 July 2018, requiring immediate alignment of internal policies with the new operational risk capital rules.