For preventing and overcoming of negative impact of potential risks and global financial crises on national economy, with the technical assistance of the World Bank, National financial stability council in Republic of Tajikistan (hereafter – the Council) (by the Resolution of the Government of the Republic of Tajikistan №331 dd. 21.06.2018) has been established in 2018.

Council is the continuing interagency advisory body established with the purpose of reviewing matters related to maintenance of financial stability, identification of systemic risks in the financial system and submission of proposals on measures focused on reduction of such risks.

Composition of the Council as bellow:

- Minister of Economic development and trade of the Republic of Tajikistan - Chairman of the Council;

- Chairman of the National bank of Tajikistan - Coordination Secretary of the Council;

- Minister of Finance of the Republic of Tajikistan – Deputy Chairman of the Council;

- Chairman of the Individual deposit insurance fund – permanent member of the Council;

- Representative from the Executive Office of the President of the Republic of Tajikistan – permanent participant as an independent observer.

The Council will hold meetings at least once every six months. At the same time, extraordinary meetings of the Council will be invited by the Chairperson of the Council based on the instruction of the Government of the Republic of Tajikistan or upon proposal of the majority of the Council’s members.

Council develops methods of effective assessment of the various forms of state financial support, submits reports to the Government of the Republic of Tajikistan and carries out analysis related to state financial support before the decision is made.

Main goals of the Council will include:

- Performing the regular assessment of the financial stability;

- Coordinating the implementation of macro- and micro-prudential policies (set of measures focused on reduction of risks in financial system) to eliminate possible vulnerabilities;

- Identification and evaluation of the level of available risks and impact of possible future threats on the stability of financial system;

- Developing proposals on measures to reinstate financial stability;

- Promoting coordination of information sharing between the members of the Council;

- Provision of advice to the Government of the Republic of Tajikistan with regard to compliance of the regulatory policies within the frame of provision of financial stability;

- Development, review and implementation of emergency plans to manage and eliminate the impact of the economic and financial crises;

- Improving participation of the Republic of Tajikistan in regional and international programs related to financial stability;

- Studying and implementing best practices in the area of financial sector regulation and supervision.

In case of emergence of crisis situation or unforeseen destabilizing events, including natural disasters, the Council will develop and present an emergency plan, if possible, with the purpose of their prevention and, if otherwise, with the purpose of their elimination, management and resolution.

In the course of developing the emergency plan, every member of the Council will review the following matters  depending on  their mandate, as description of how an accurate assessment of financial, credit institutions, and other financial organization will be made, distribution of risks throughout financial system, developing procedures to apply outputs of stress-testing and early warning systems and developing the list of liquidators and official administrators of financial and credit institutions.