Prudential Risk

Supervision & Enforcement

RBI Fines Citibank, Six Others for Non-Compliance

By Editors | 01/06/2020

Citibank did not comply with obligations to obtain declarations from customers about the credit facilities they have with other banks before granting them non-fund based facilities.

Credit Risk

Japan Banks Asked to Continue Lending as Stimulus Gets Green Light

By Editors | 31/05/2020

Finance Minister Taro Aso is asking banks to continue supporting SMEs and to actively make use of hybrid lending, in light of a new 117tr yen stimulus package.

Resolution & Recovery

Korea Launches W40tr Bailout Fund for Key Industries

By Editors | 31/05/2020

The airline, shipping and other hard-hit industries will be eligible for financial support from the fund if they have more than 500bn won in debt and over 300 employees.

Capital Adequacy

CBIRC Eases Restrictions on Bank Bond Investment by Insurers

By Editors | 31/05/2020

The CBIRC is scrapping requirements that only allowed insurers to invest in bank bonds of large issuers based on their asset size, capital adequacy and credit rating.

Liquidity Risk

Large Enterprise Loans Can Count Towards Reserve Compliance: BSP

By Editors | 30/05/2020

The BSP said the revised measures are intended to provide credit and help ease the financial burden of firms heavily affected by the Covid-19 pandemic.

Capital Adequacy

Bank Resilience to be Tested in the Coming Months: RBNZ

By Editors | 29/05/2020

Under the RBNZ’s ‘very severe’ stress test scenario, banks would fall below minimum regulatory capital, requiring “significant recovery responses” to avoid resolution options.

Emerging Prudential Risks

Bank of Korea Cuts Policy Rate to All-time Low

By Editors | 29/05/2020

Korea’s GDP shrank 1.4% year-on-year from January to March period, its biggest quarterly decline since the 2008 global financial crisis.

Cloud & Infrastructure

IOSCO Consults on Updated Set of Outsourcing Principles

By Editors | 28/05/2020

The principles include selection due diligence, information security, confidentiality issues, outsourcing risk concentration, and access to data, among others.

Capital Adequacy

Using Capital Buffers Not As Easy As Hoped: APRA Chair

By Editors | 28/05/2020

Market expectations of bank capital levels and the knowledge that capital will eventually need to be rebuilt make it difficult for banks to dip into their buffers.