CAPITAL / LIQUIDITY

Capital / Liquidity

PBOC to Ease Capital Rules for Some Banks to Boost Lending

By Garima Chitkara | 26/07/2018

PBOC is looking to lower a structural parameter used in its quarterly macro prudential assessment, effectively lowering the amount required for capital buffers at some banks.

Capital / Liquidity

Indian Banks Sign Agreement to Hasten NPA Resolution

By Mark Pufpaff | 26/07/2018

Inter Credit Agreement give more influence to a consortium’s lead lender and allows for resolution plans to be approved with 66% agreement among majority lenders; signatories include over 80 lenders.

Capital / Liquidity

Vietnamese State-Owned Banks Face Weakening Credit Profiles – Moody’s

By Garima Chitkara | 26/07/2018

Vietnamese state-owned banks are raising external capital at a much slower pace than their privately-owned counterparts, putting pressure on their capital ratios and overall competitiveness, according to a Moody’s report.

Fintech / Regtech

S. Korea’s FSC Vows to Support Growth of Fintech Sector

By Mark Pufpaff | 26/07/2018

Discussions are underway concerning a revision of South Korea’s Banking Act to nurture growth within the fintech industry, including a proposal to allow non-financial firms to hold up to 50% stakes in banks, including internet-only banks.

Market Infrastructure

Misguided Derivatives Regulation Distorts Markets

By Peter Guy | 23/07/2018

Basel’s new capital rules have impacted global derivatives markets by purging participants and liquidity. Whether or not this was the intended outcome, it will create onerous costs for entire markets and consumers.

Capital / Liquidity

S. Korea Credit Unions Toughen Mortgage Lending

By Editors | 22/07/2018

Credit unions will apply stricter lending calculations for home mortgages starting this week, as the government tries to rein in rapid growth in household debt.

Capital / Liquidity

China Loan Classification Rules Start to Hit Rural Banks

By Manesh Samtani | 22/07/2018

Rural commercial banks are experiencing credit downgrades as new loan classification rules force them to recognise souring loans as NPLs and set aside more capital against bad debt.

Capital / Liquidity

MAS Consults on Resolution Regime Amendments

By Editors | 21/07/2018

Amendments include introduction of a contractual recognition requirement into financial contracts governed by foreign laws, the statutory bail-in regime, and creditor compensation framework, among others.

Capital / Liquidity

Five Indian State-Run Banks to Receive Additional Capital Infusion

By Garima Chitkara | 19/07/2018

Indian government will infuse $1.6bn in additional capital into five state-run banks that have been struggling to meet capital adequacy ratios due to higher than expected losses from bad loans.