The RCC coordinates a holistic approach towards unlocking greater benefits of broader financial sector diversification for boosting growth, jobs and economic convergence in the region. With technical support of the World Bank Group, and financial support of the EU, diagnostics of the main challenges to financial sector development is underway, along with preparation of adequate measures for addressing those challenges and ensuring implementation of agreed measures in terms of related policy reform and concrete activities on ground conducive to doing business on the financial market.

This work will take into account the developments on the global financial markets scene, particularly new technologies and innovations that aim to compete with traditional financial methods in the delivery of financial services, such as FinTech, Blockchain, and other solutions.  
Given the strong banking sector in the region with low diversification of non-banking financial services, the RCC will support expanding non-banking financial services with capital markets, investment funds, pension funds, insurance companies, risk capital, and others, and will also explore the possibilities of banks moving towards and providing non-traditional banking services.

Finally, investments in Environmental, Social and Governance (ESG) factors will be put forward as one of the priority elements of importance for the financial market clients to be considered for implementation in financial markets diversification, especially by big players, such as commercial banks, investment funds, pension funds and others.

The RCC conducts this work in cooperation with the World Bank Group (technical expertise) and the EU (financial support), as well as through a well-established dialogue with the market authorities, regulators, and operators through the following:

Next steps

  • Determine the main obstacles and challenges to financial markets development
  • Prepare and propose adequate measures for addressing the challenges of financial markets development & diversification
  • Support and monitor the implementation of prioritised measures
  • Pay special attention to the development of proposals for capital markets development, being one of the most prominent areas of financial markets diversification
  • Support the region in alignment of policies pertinent to financial markets with those of the EU
  • Provide capacity building support to market authorities, regulators, and operators