RESOLUTION OF THE NATIONAL COMMISSION ON THE FINANCIAL MARKET OF THE REPUBLIC OF MOLDOVA

of March 27, 2015 No. 16/3

About approval of the Regulations on fund of liquidity of savings and loan associations

Based on Art. 9 of the h. (2) the item c) and Art. 35 of the Law No. 139 of June 21, 2007 "About savings and loan associations" (The official monitor of the Republic of Moldova, 2007, No. 112-116, the Art. 506), Art. 25 of the h. (2) the Law No. 192-XIV of November 12, 1998 "About the National commission on the financial market" (it is repeatedly published in the Official monitor of the Republic of Moldova, 2007, No. 117-126 BIS) the National commission on the DECIDES: financial market

1. Approve Regulations on fund of liquidity of savings and loan associations according to appendix.

2. Nullify the Resolution of the National commission on the financial market No. 13/11 of April 1, 2010 "About approval of the Regulations on fund of liquidity of savings and loan associations" (registered by the Ministry of Justice at No. 764 of June 23 2010, the Official monitor of the Republic of Moldova, 2010, No. 110-113, the Art. 391).

3. This resolution becomes effective from the date of publication.

Appendix

to the Resolution of the National commission on the financial market of the Republic of Moldova of March 27, 2015 No. 16/3

Regulations on fund of liquidity of savings and loan associations

Chapter I. General provisions

1. The regulations on fund of liquidity of savings and loan associations (further – the Provision) establish requirements and procedures for creation, management and use of fund of liquidity of savings and loan associations and are applied to licensed savings and loan associations (further – associations), including the central associations. Requirements of this provision do not extend to own quick assets of the central association.

2. The fund of liquidity (further – FL) is created for the purpose of centralized providing associations with liquidity, including for compliance to the requirements to liquidity established according to the Regulations of financial precaution of savings and loan associations (further - Regulations of financial precaution) approved by the Resolution of the National commission on the financial market No. 17/8 of April 30, 2008 (The official monitor of the Republic of Moldova, 2008, No. 131-133, the Art. 381).

3. In this Provision the following concepts are used:

1) investments into FL – the money transferred and supported by associations in FL, and also the income relying on them reinvested in FL including for the purpose of execution of requirements of Regulations of financial precaution and/or the maximum increase in investment income of these financial resources;

2) the member of FL – associations which are members of the central association and which:

a) in case of possession of the license of category B or C, shall become members of FL;

b) in case of possession of the license of category A can become members of FL.

4. FL is created, controlled and used by the central association according to this Provision and policy of association on creation, management and use of FL (further – policy of FL).

Chapter II. Financial resources of fund of liquidity

5. FL consists of the following funds:

1) Fund of savings deposits (further – FSV);

2) Ceased to be valid;

3) Fund of excess liquidity (further – FIL).

6. Financial resources of FL are created of the following sources:

1) investments into FL;

2) investment incomes of financial resources of FL in financial instruments, except for loans;

3) interest gains and the other payments connected with the loans issued from FIL.

7. The associations having the license of category B or C shall own and support investments into FSV in the minimum size added according to Item 13 of Regulations of financial precaution.

8. All members of FL can perform investments into FIL within the available funds which are not used for issue of loans after accomplishment of provisions of Item 13 of Regulations of financial precaution depending on circumstances and to obtain loans from these funds.

9. Investments into FL are performed based on the investment agreements having the following obligatory characteristics:

1) variable amount of investment into FSV;

2) the size of interest rate of investments into FIL is fixed and is determined by policy of FL;

3) the investment purpose is established: in FSV or in FIL depending on circumstances;

4) the uncertain term of the agreement in case of investments into FSV and certain term of the agreement in case of investments into FIL;

5) it is excluded;

6) the remaining balance of investment into FSV cannot be brought as pledge for guaranteeing return of any requested loan and/or the other relying payments from FIL;

7) restrictions and/or other sanctions connected with investments into FSV can be applied only by the National commission on the financial market (further – the National commission).

10. In every month of the 15th of association, the categories B or C having the license, shall compare the minimum obligatory size established according to Regulations of financial precaution with the size of investments into FSV on the last reporting date reflected according to the financial/specialized statements submitted the National commission.

11. In case of establishment of deficit of investments into FSV the association shall liquidate within 3 working days following after the 15th day of the next month deficit by transfer of additional liquidity to the relevant unprofitable fund.

12. The central association carries out comparison, stipulated in Item 10, separately on each association, performs monitoring of accomplishment by associations of provisions of Item 11.

Chapter III. Investment of financial resources of fund of liquidity

13. The central association has the right to invest financial resources of FSV only in the following financial instruments:

1) current accounts, bank deposits poste restante – at least 3% of FSV and

2) term bank deposits and/or government securities.

14. The term of investment into bank deposit accounts cannot be more than three years.

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