Prudential Risk

Credit Risk

RBI Extends External Benchmarking to Medium Enterprise Loans

By Editors | 27/02/2020

From 1 April, loans to medium enterprises must be linked to external interest rate benchmarks, expanding on a policy that took effect in October for retail and micro/small enterprise loans.

Capital Adequacy

BSP Approves ‘Enhanced’ Capital Requirements for Smaller Banks

By Editors | 27/02/2020

The higher capital standards for stand-alone thrifts, rural and cooperative banks include a 6% minimum CET1 ratio, a 7.5% Tier 1 ratio, and a 2.5% capital conservation buffer.

Credit Risk

Bangladesh Bank Caps Lending Rate at 9pc, Effective in April

By Editors | 26/02/2020

Bangladesh Bank has instructed banks to set a maximum 9 percent interest rate on all loan products except credit cards by 1 April.

Credit Risk

Myanmar Credit Bureau to Commence Operations in April

By Editors | 26/02/2020

It will take up to one year for the credit bureau to collect sufficient and meaningful credit data on local businesses before it will be provided to lenders.

Cybersecurity

RBNZ Estimates Cyber-attacks Cost Financial Sector NZ$144m Annually

By Editors | 26/02/2020

More extreme events have a low probability but are still plausible, illustrating the importance of managing cyber resilience effectively, the RBNZ says.

Model Risk

Taiwan Banks Likely to Replace LIBOR with SOFR: FSC

By Editors | 25/02/2020

The central bank calls on local banks to carefully evaluate the effects of the LIBOR transition, formulate benchmark conversion plans, and review the plans regularly.

Market Risk

SEBI Amends Margin Framework for Cash, Derivatives Segments

By Editors | 25/02/2020

Margin requirements will be lower for positions that are hedged against each other, making some options strategies more feasible for traders.

Credit Risk

PBOC Expands Special Re-lending Programme to Help More Businesses

By Editors | 25/02/2020

The PBOC has instructed six state-owned banks to provide low-interest loans to a broader pool of companies than originally specified under a special re-lending programme earlier this month.

Capital Adequacy

FSC Korea to Tighten Financial Conglomerate Supervision from May

By Editors | 25/02/2020

The FSC is revising its guidelines on the supervision of financial conglomerates to enhance capital adequacy assessments, disclosure rules, and internal controls requirements.