Financial Needs of Customers Affected By Coronavirus
Moldovan state banking regulators issued only statements
instructing financial institutions how to work with clients
impacted by COVID-19/coronavirus and avoid contamination but
nothing about: how to get ready for potential events of
default?
Several industries in the country are experiencing disruption
that may affect their ability to comply with loan covenants and
even affect their ability to make timely loan payments.
The message regulators must send that banks should not strictly
enforce loan obligations if a borrower is impacted by
coronavirus.
Moreover, how banks do this, while still following safe and
sound banking practices, is left to individual banks to
determine.
