The financial-non-banking sector of the Republic of Moldova: realities and reform solutions

This article reflects the real situation of the financial and non-banking sector of the Republic of Moldova. Non-bank financial institutions were created as an opportunity for financing micro and small businesses as well as consumer and mortgage lending. In recent years there has been a considerable increase in the number of these institutions whose quality of services is not one as expected. The regulation and supervision of this sector is superficial. Of the more than 160 non-bank lending organizations, only a few are specialized in financing small businesses and the rest are focused on consumer and mortgage lending. The financing conditions are quite harsh, the real interest rate exceeds 50-100%. The reform of this sector by modifying the normative-legislative and institutional framework is necessary