A newly created structure called the National Committee for Macroprudential Supervision will watch over Romania’s financial stability.

The new committee, which will be led by Romania’s National Bank Governor Mugur Isarescu and will have five of its nine board members from the central bank, won’t accept instructions from any authority, institution or public or private body in Romania.

However, its recommendations or warnings will be mandatory to BNR, the Financial Supervisory Authority (ASF), and to Romania’s Government.

“Following the reception of such recommendations or warnings, the recipients are compelled, according to the draft legislative act, to adopt the recommended measures, or to take actions with a view to diminishing risks against which we were warned, including in the sense of issuing regulations,” according to a draft law approved by the Government last week that.

The committee’s main tasks will be to develop Romania’s macroprudential policy strategy, to identify, monitor and analyze systemic risks to the country’s financial stability, and to issue recommendations and warnings to prevent or reduce systemic risks.

“This committee will be sort of a council of the wise. It will issue opinion, analysis and warnings for the BNR and ASF supervisory bodies,” said Adrian Vasilescu, strategy advisor to BNR Governor Isarescu, quoted by Digi 24 news station.

“It looks like this committee takes the lead and can not only prevent but also impose Government decisions in the name of financial stability,” thinks financial analyst Florin Citu.

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editor@romania-insider.com