Banca Naţională a României

The ordinary meeting of the National Committee for Financial Stability (NCFS) took place on December 23^rd, 2013.

The meeting was attended by Mr. Mugur Isărescu – Governor of the National Bank of Romania and NCFS President, Mr. Daniel Chiţoiu - Minister of the Ministry of Public Finance, Mr. Liviu Voinea - Deputy Minister for Budget within the Ministry of Public Finance, Mr. Dan Radu Ruşanu - President of the Financial Supervisory Authority and Mr. Eugen Dijmărescu - Director of the Bank Deposit Guarantee Fund.

Considering the provisions of Art. X of the Government Emergency Ordinance No. 113/2013 regarding some budgetary measures and for amending and supplementing the Emergency Government Ordinance No. 99/2006 on Credit Institutions and Capital Adequacy, approved with amendments and supplements by Law No. 227/2007, subsequently amended and supplemented, NCFS members signed the Addendum No. 4 to the Co-operation Agreement in the field of financial stability and financial crisis management, signed on July 31^st 2007, according to which, during the transitional period, until the inter-institutional structure for coordination in the field of macro-prudential supervision of the national financial system becomes operational, the NCFS is entitled to issue recommendations and advisory opinions on the enforcement of the provisions of Art. 126¹ and 164¹ of the Government Emergency Ordinance No. 99/2006.

The NCFS members analyzed the provisions of the CRD IV Directive regarding the capital buffers that can be imposed on credit institutions and financial investment companies, alongside with the minimum requirements for the own funds with a view to increasing their capacity to bear the losses that can occur as a consequence of materializing the idiosyncratic and systemic risks.

For this purpose, the NCFS members adopted the NCFS Recommendation No. 1/2013 whereby the National Bank of Romania and the Financial Supervisory Authority are recommended not to impose the accelerated implementation of the capital preservation buffer and anti-cyclic capital buffer, starting with January 1^st, 2014, on the credit institutions, respectively on the financial investment services providers. Also, the NCFS members recommended to the National Bank of Romania, as well as to the Financial Supervisory Authority, to impose a 0 (zero) level of systemic risk buffer for the credit institutions as well as for the financial investment services providers, starting with January 1^st, 2014.

NCFS members will periodically issue recommendations on the implementation of capital buffers in Romania.