CAPITAL / LIQUIDITY

Capital / Liquidity

MAS to Advise Banks on Dividend Restrictions ‘Very Shortly’

By Ranamita Chakraborty | 05/07/2021

MAS is conducting stress tests on local banks to assess whether it is necessary to extend existing restrictions on dividend payments.

Capital / Liquidity

SEBI Allows Cross Margin Benefits in Commodity Futures Trades

By Editors | 03/07/2021

The move is part of efforts to improve efficiency in the use of the margin capital and enhance market liquidity.

Capital / Liquidity

Taiwan FSC to Ease Capital Requirements for D-SIBs

By Editors | 02/07/2021

The move is aimed at boosting the lending capacity of the six D-SIBs, enabling them to expand loans to businesses by TWD 400 billion this year.

Capital / Liquidity

BCBS Finalises Technical Amendments on SFT Haircuts

By Editors | 01/07/2021

The amendments were published for consultation in January 2021 and have been finalised as originally proposed.

Big Picture

Japan’s Amended Banking Act to Have Limited Impact: Fitch

By Ranamita Chakraborty | 30/06/2021

The amendment is expected to contribute only marginally to addressing Japanese banks’ structural profitability challenges, Fitch Ratings says.

Capital / Liquidity

FSC Korea to End Bank Dividend Cap on 30 June

By Manesh Samtani | 28/06/2021

The FSC arrived at the decision based on economic projections, bank stress tests, higher capital adequacy ratios, and higher loan loss provisions.

Capital / Liquidity

Hong Kong: ‘Stay Rules’ to Come into Operation on 27 August

By Manesh Samtani | 27/06/2021

Banks have to adopt provisions in financial contracts binding counterparties to temporary stays on termination rights that may be imposed by the HKMA during a bank resolution.

Capital / Liquidity

RBI Issues New Dividend Distribution Guidelines for NBFCs

By Ranamita Chakraborty | 27/06/2021

The dividend ratio will be capped at 50 to 60 percent of a deposit-taking NBFC’s profits, depending upon the nature of the business.

Capital / Liquidity

CBSL to Require Banks to Maintain Recovery Plans from 2022

By Sanday Chongo Kabange | 24/06/2021

Starting in 2022, Sri Lankan banks with assets above LKR 1 trillion must formulate and submit their recovery plans to the CBSL annually.