Capital Regulation

The proposals could relax capital and stress testing requirements for US branches of foreign banks, but impose stricter liquidity rules on those that engage in riskier activities.

The consolidated Basel Framework has been published initially in draft form, together with a consultative document on technical amendments to the standards.

The RBI has deferred a requirement for banks to link loan rates to external benchmarks, citing difficulties the change presents to banks' interest rate risk management.

Fitch Ratings says its assessment of New Zealand's largest banks could change if capital requirements become so onerous as to cause their Australian parents to divest.

Of Henan's 93 commercial banks, 42 have high levels of nonperforming loans, a dozen of which reported an NPL ratio above 20%, 'several' as high as 40%.

Sectoral CCyBs increase banking system resilience at a lower cost than the Basel III CCyB, and can serve to reduce excessive credit growth and risks in targeted segments.

The guidelines will take effect in October, requiring brokers to limit margin lending to five times their capital, among other controls to reduce excessive leverage.

The central bank will have to issue a revised circular for banks on bad debt resolution after a February 2018 circular was invalidated by the Supreme Court this week.

The FSA will stress tests regional banks and force weaker lenders to take action to improve profitability, replace their management, or merge.

The draft policy framework sets out a proposed assessment methodology to identify D-SIBs in Malaysia and the applicable HLA and reporting requirements.