Prudential Risk

Anti-Money Laundering

FSI Takes Stock of Official Sector Response to Rising Financial Crime

By Manesh Samtani | 17/05/2020

There are trade-offs between expecting FIs to enhance or adjust their cyber resilience and AML frameworks, versus avoiding excessive burdens that could hinder the delivery of key financial services.

Capital Adequacy

SFC Declines to Take Action Against HSBC for No-dividend Decision

By Editors | 15/05/2020

Some investors in HSBC alleged the bank failed to safeguard their interests. Others questioned whether the bank’s discussions with the Bank of England were disclosed in a timely manner.

Model Risk

CCP Margin Models May Need Fine-tuning: BIS Paper

By Editors | 15/05/2020

Some CCP margin models underestimate market volatility because they rely on a short period of historical price movements from tranquil times, the paper says.

Liquidity Risk

Sri Lanka Central Bank Bans Dividends, Share Buybacks at Banks

By Editors | 15/05/2020

Foreign banks are prohibited from repatriating profits. LCR and NSFR requirements have been reduced to 90%. Banks are told to refrain from non-essential expenditures.

Liquidity Risk

Bangladesh Bank Eases Rules on Foreign Firms Borrowing Overseas

By Editors | 14/05/2020

Under existing rules, foreign companies can only borrow from their parent companies during their first three years of their operation in Bangladesh.

Climate Risk

BIS Calls for Global Cooperation to Mitigate ‘Green Swan’ Risks

By Manesh Samtani | 14/05/2020

More global coordination is needed to foster change in methodologies and mindsets to deal with global green swan risks, says a new BIS paper.

Liquidity Risk

India Makes Additional Funding Available to NBFCs

By Editors | 14/05/2020

A $4bn special liquidity scheme will be provided for NBFCs, and the partial credit guarantee scheme already in force is being expanded to also cover non-investment grade NBFC debt.

Capital Adequacy

Bangladesh Restricts Dividend Payments by Banks

By Editors | 14/05/2020

It is necessary to maintain the cash flow by strengthening the banks’ capital during the coronavirus pandemic, Bangladesh Bank said.

Emerging Prudential Risks

RBNZ Announces Expansion of Asset Purchase Programme

By Editors | 14/05/2020

The RBNZ’s bond-buying programme will be capped at NZ$60bn, up from the NZ$33bn announced in March. Government inflation-indexed bonds are also now included.