Prudential Risk

Emerging Prudential Risks

BSP Proposes Prudential Requirements for Digital Banks

By Editors | 11/10/2021

The BSP proposes a 3 percent RRR for digital banks, aligning them with thrift lenders. A 7th licence will not be issued at the stage as previously planned.

Market Risk

SEBI Issues Swing Pricing Framework for Debt Funds

By Editors | 11/10/2021

During periods of market dislocation, investors will only be able to exit certain debt funds at 1-2 percent below the NAV.

Emerging Prudential Risks

New Zealand Becomes Third in APAC to Raise Rates

By Editors | 08/10/2021

The RBNZ increased its official cash rate for the first time in seven years to contain inflationary pressures and cool the housing market.

Operational Risk

Mizuho Experiences Eight System Glitch for the Year

By Editors | 08/10/2021

The system failure affected 387 transactions for foreign exchange trades. Mizuho is required to submit a report on its IT systems to the FSA by 29 October.

Emerging Prudential Risks

Data Gaps Initiative to Extend Past 2021: FSB, IMF

By Editors | 08/10/2021

A new international cooperation initiative on data gaps will be needed after the DGI concludes. Some phase 2 recommendations may not yet be complete by year-end.

Conduct, Culture & Accountability

BOT Issues Guidelines for Banks on Fair Lending

By Pongnut Thanaboonchai | 08/10/2021

The BOT sets out six steps for ensuring equitable lending practices, from the development of lending products to the sale of debts to other creditors.

Credit Risk

APRA Unveils Initial Measures to Contain High Risk Lending

By Editors | 06/10/2021

Banks should operate with a mortgage serviceability buffer of at least 3 percentage points over the loan interest rate, and control lending at high debt-to-income ratios.

Credit Risk

BOT Set to Cap Interest Rates on Consolidated Debt

By Pongnut Thanaboonchai | 06/10/2021

New guidelines will cap the interest lenders can charge borrowers who consolidate debt owed to multiple lenders within the same group.

Liquidity Risk

CBSL Roadmap Outlines Six Month Plan to Stabilise Sri Lanka

By Duruthu E Chandrasekera | 06/10/2021

Export proceeds must be repatriated and converted to local currency. The loan moratorium will be unwound gradually. Liquidity support will be provided to banks.