CAPITAL / LIQUIDITY

Capital / Liquidity

Covid-19 Puts Financial Regulation Under Stress

By Peter Guy | 30/03/2020

Business continuity plans, social distancing measures, economic stimulus and liquidity constraints are hindering banks’ abilities to stay consistent with regulators’ expectations, says Peter Guy.

Capital / Liquidity

S. Korea to Adopt Basel III Credit Risk Framework Early

By Editors | 30/03/2020

Lower risk sensitivity on SME loans under the Basel III credit risk framework will raise capital adequacy ratios at banks, allowing them to provide additional funding to businesses.

Capital / Liquidity

Malaysia: BNM Enhances Financing Facilities for SMEs

By Editors | 30/03/2020

BNM is allocating an additional 4 billion ringgit to its financing facilities for SMEs and lowering interest rates to help them sustain their operations and preserve jobs.

Capital / Liquidity

APRA Defers Basel III Capital Reforms by One Year

By Editors | 30/03/2020

The move will allow ADIs to dedicate time and resources to maintaining their operations and supporting customers, APRA says.

Capital / Liquidity

Basel III Implementation Timelines Deferred in Response to Covid-19

By Editors | 28/03/2020

The implementation date of the outstanding Basel III standards will be deferred by one year to 1 January 2023 to free up operational capacity for banks and supervisors.

Capital / Liquidity

RBI Announces Broad Measures to Address Covid-19 Financial Stress

By Editors | 28/03/2020

The measures include a 3 month moratorium on term loans, deferred interest on working capital loans, $50bn of liquidity measures, and 6-month delays for NSFR, CCB and LEI implementation.

Capital / Liquidity

Indian Banks Directed to Extend Emergency Credit to SMEs

By Editors | 26/03/2020

The government has also asked the RBI to consider implementing a months-long moratorium on the debt repayments and to relax NPA classification norms.

Capital / Liquidity

Malaysia: Lenders Need Not Assume Higher ECL for Rescheduled Debt

By Manesh Samtani | 26/03/2020

Given that regulatory action is driving debt rescheduling, lenders need not simply assume lifetime expected credit losses under MFRS 9 are relevant for all receivables.

Capital / Liquidity

BNM Offers Regulatory Relaxations to Support Lending Activities

By Editors | 25/03/2020

Besides an NSFR relaxation, banks can drawdown on the capital conservation buffer, operate below 100% LCR, and utilise regulatory reserves they have set aside.