Prudential Risk

Liquidity Risk

SEBI Allows Debt Funds to Increase Exposure to G-Secs

By Editors | 23/05/2020

The flexibility has been granted for three months to ensure adequate liquidity in corporate bond funds, banking & PSU debt funds, and credit risk funds.

Emerging Prudential Risks

BOT Cuts Benchmark Interest Rate to Record Low 0.5%

By Editors | 22/05/2020

Thailand’s National Economic and Social Development Council expects economic performance this year to be the worst since the Asian financial crisis.

Credit Risk

S. Korea to Set Up SPV to Support Lower Grade Corporate Debt

By Editors | 22/05/2020

The SPV is a separate initiative from the bond market stabilisation fund, which focused on corporate bonds rated AA and higher.

Capital Adequacy

‘Now is the Time’ for Banks to Use Buffers: APRA, RBA

By Manesh Samtani | 21/05/2020

APRA’s Wayne Byres and the RBA’s Philip Lowe said buffers were built up to be used in times of stress, and lower capital ratios are both expected and appropriate.

Credit Risk

Bangladesh: Banks, NBFIs Commit to Disbursing Stimulus Loans

By Editors | 21/05/2020

Bangladesh Bank has signed participation agreements with 44 banks and 23 NBFIs to disburse $1.8bn in loans as part of the government’s stimulus package.

Anti-Money Laundering

Westpac Removes EY as Auditor for Upcoming Risk Review – Report

By Editors | 20/05/2020

EY’s 2017 review of Westpac highlighted poor data quality, outdated infrastructure, incompatible systems, capacity issues, manual workarounds and historical underinvestment.

Operational Risk

MAS Guidance for Safe Reopening of FIs’ Client-Facing Locations

By Editors | 20/05/2020

FIs will be allowed to reopen more customer service locations from 2 June. MAS will take action against FIs that fail to comply with safe management requirements.

Capital Adequacy

Woori to Seek FSS Approval to Use IRB Approach

By Editors | 20/05/2020

Higher expected capital adequacy under the internal ratings-based approach for calculating risk-weighted assets will help to fuel M&A activity at the bank.

Market Risk

APRA Grants Internal Modelling Banks Relief on Market Risk Capital

By Editors | 19/05/2020

APRA will allow internal modelling banks to disregard back-testing exceptions that occurred in March and April when determining capital requirements for market risk.