Cooperation in banking between the national bank of Romania and competent authorities in the European Union

In Romania, the legal framework which regulates the legal regime of credit institutions is Governmenr Emergency Ordinance no. 99/2006 on credit institutions and capital adequacy, amended and approved by Law no. 227/2007. This regulation includes also the legal framework for the activity of the authority competent in the field, as well as the legal relations established between the national authority and the competent authorities in other European Union member states.Pursuant to provisions of Art. 4 par.(1), the authority competent as regards the regulation, licensing and prudential supervision of credit institutions in the National Bank of Romania. Moreover, this institution provides this activity as one of its main responsabilities stipulated in Art.2 par. (2) of Law no. 312/2004 on the Statute of the National Bank of Romania. In support of this competence, Art.25 par.(1) of the law expressly mentions that “the National Bank of Romania has exclusive competence to license credit institutions and is in charge with the prudential supervision of the credit institutions which it has authorised to operate in Romania”; in the next paragraph, the article stipulates the empowerment limits for the authority, with the declared purpose of assuring the operating and viability of the banking system.