Rapid growth in real estate prices and the expansion of lending may create risks for the financial stability of the Republic of Moldova, the International Monetary Fund warns. The information appears in a report by the international institution on the country’s financial system.
According to IMF experts, housing prices increased by about 25 percent in 2024 and in the first half of 2025, driven by rising demand, lower interest rates and government programs supporting mortgage loans.
At the same time, lending accelerated. By mid-2025, loans granted to the private sector were growing by about 30 percent annually. This represents the fastest pace recorded in the past decade, and IMF experts note that such growth requires increased attention from regulatory authorities.
The rapid expansion of mortgage lending and rising housing prices may increase the vulnerability of the banking system, especially if a sudden correction occurs on the real estate market.
At the same time, IMF officials say that the banking system of the Republic of Moldova remains generally stable due to high levels of capital and liquidity.