Capital / Liquidity

Capital / Liquidity

BSP Eases Asset Cover Rules for Banks’ FX Exposures

By Editors | 25/04/2020

Banks can offset foreign currency asset cover deficiency incurred on one or more days of the week with excess cover from other days of the same or immediately succeeding weeks.

Capital / Liquidity

China to Lower Bad Loan Provisioning Requirements

By Editors | 23/04/2020

China will reduce the amount of capital small and medium-sized banks need to set aside to cover potential losses from loan defaults.

Capital / Liquidity

Banks Sufficiently Capitalised to Pay Dividend, says RBA Governor

By Manesh Samtani | 22/04/2020

Australian banks are well-capitalised and have the ability to pay dividends, says RBA governor Philip Lowe. ANZ, Westpac and NAB are reportedly engaging with APRA on the issue.

Capital / Liquidity

HKMA Introduces USD Facility, Postpones Supervisory Stress Tests

By Manesh Samtani | 22/04/2020

$10bn will be available to banks under the USD liquidity facility. The stress tests are being postponed to 2021 to free up banks’ operational capacity.

Capital / Liquidity

RBNZ Proposes Removal of Mortgage Lending Restrictions

By Editors | 22/04/2020

The RBNZ intends to remove existing LVR restrictions for a period of one year, to help banks to keep lending to support customers, including with mortgage deferrals.

Capital / Liquidity

BOJ Flags Financial Stability Risks from High Credit Costs, Investment Losses

By Editors | 22/04/2020

The BOJ has identified three main risks to the stability of the Japanese financial system – rising credit costs, investment losses and foreign currency funding risks.

Capital / Liquidity

ECB Officials Push for ‘Bad Bank’ to Clean Up NPLs – Report

By Editors | 21/04/2020

ECB officials are concerned that the coronavirus pandemic will trigger a surge in NPLs that could hamper banks’ ability to lend.

Capital / Liquidity

Hong Kong’s Banking Exposure Limit Rules: Implementation Challenges

By Gregory Achache | 21/04/2020

Many banks have merely instituted stopgap measures and temporary manual solutions to comply with BELR so far, say Synpulse’s Gregory Achache and Tim Alvner.

Capital / Liquidity

UPDATED – MSME Loans Can Be Counted Towards Reserve Requirements: BSP

By Editors | 20/04/2020

Loans granted to MSMEs can be counted as part of banks’ compliance with reserve requirements. Detailed guidelines will be issued in due course.