A Comparative Analysis of Banking Systems in the Republic of Moldova and the European Union

Abstract

The banking system plays a crucial role in the economy, facilitating the movement of money and offering a wide range of financial products and services. In order to assess the effectiveness and stability of this system, constant monitoring of banking indicators is essential. Banking indicators are a series of metrics that provide a snapshot of the performance of the banking sector. Like a dashboard, they indicate the current state of the system, highlighting strengths and weaknesses, and providing valuable information for different categories of users. Banking indicators help identify potential problems, companies and the public use banking indicators to make informed financial decisions, regulators use banking indicators to monitor the banking system and take the necessary measures to maintain financial stability, allow comparison of the performance of banking systems in different countries. This comparison can be useful in identifying best practices and implementing necessary reforms. This research topic focuses on a comparative analysis of three banking indicators in Moldova and the European Union. The aim of the analysis is to assess Moldova's progress towards European integration in the banking sector, to identify areas in need of reform and to set concrete targets for improving the performance of the Moldovan banking system. CZU: 336.71(478):061.1EU; JEL: G21, G150, E580