Prudential Risk

Credit Risk

BOT Sets Out New Rules for ‘Digital Personal Loans’

By Editors | 21/09/2020

Under the regulations, alternative data including payment information relating to water, electricity and telephone bills can be used to support loan applications.

Credit Risk

CBIRC Raises Leverage Limits for Microfinance Companies

By Editors | 20/09/2020

Microfinance companies can issue standardised debts such as bonds and ABS products up to 4 times net assets, compared to 0.5 to 3 times net capital previously.

Capital Adequacy

Stress Tests Reinforce Need for More Bank Capital: RBNZ

By Manesh Samtani | 19/09/2020

While all banks will be able to continue lending in a ‘pessimistic baseline’ scenario, capital would fall under regulatory minimums in a ‘very severe’ scenario.

Credit Risk

Korea Enhances Emergency Loan Programme for Small Businesses

By Editors | 19/09/2020

Banks are instructed to take measures to ensure that their IT systems are ready for processing changes in the second round emergency loan programme.

Market Risk

Firms Lagging in Preparations for UMR Compliance: Survey

By Manesh Samtani | 19/09/2020

State Street found that 19% of Phase 5 and 6 firms are fully prepared for UMR compliance. Hedge funds are said to be the least prepared for compliance.

Conduct, Culture & Accountability

GCRA: Little More Than Acting the Part

By Tamara Scicluna | 18/09/2020

We need real-time insights into cultural drivers of behaviour rather than backward-looking surveillance systems designed to catch bad actors after-the-fact.

Capital Adequacy

Taiwan FSC Fines Shin Kong Life for Endangering Solvency

By Editors | 17/09/2020

The FSC has also suspended the Shin Kong Life’s chairman, who was responsible for the investment decisions that threatened the insurer’s financial strength.

Emerging Prudential Risks

CBIRC Steps Up Efforts to Control Risks in Internet Finance

By Sanday Chongo Kabange | 17/09/2020

Regulators are working to include internet lending in credit reference systems, and to make it easier to jointly punish dishonest borrowers.

Liquidity Risk

APRA Proposes Updates to Bank Liquidity Reporting Requirements

By Editors | 17/09/2020

APRA has identified areas where reporting instructions can be clarified to facilitate the provision of timely information on bank liquidity risk.