Prudential Risk

Capital Adequacy

RBI to Transfer $24bn to Govt on Committee Recommendation

By Editors | 28/08/2019

The transfer will comprise of a $17.2bn income surplus and $7.4bn in excess provisions resulting from a newly revised economic capital framework for the RBI.

Credit Risk

PBOC Sets Mortgage Rate Floor to Curb Risk

By Editors | 28/08/2019

The rate on mortgages for first-time home buyers must be at least the loan prime rate; for second-time home buyers it must be at least LPR plus 60bp.

Liquidity Risk

HKMA Introduces New Liquidity Facilities for Banks

By Manesh Samtani | 27/08/2019

The updated Liquidity Facilities Framework is part of ongoing work to maintain the integrity and stability of Hong Kong’s monetary and financial systems, said HKMA chief Norman Chan.

Trading & Investment

India Withdraws FPI Tax Surcharge Amid Foreign Pressure

By Editors | 26/08/2019

The surcharge, introduced last month, increased capital gains tax on foreign trusts investing in India to over 40%, prompting the stock market’s worst July in 17 years.

Credit Risk

MAS Offers Banks Guidance on Managing Loan Collateral

By Editors | 24/08/2019

In a review of collateral management standards and practices banks use when lending to corporates, MAS has identified four key areas that need improvement.

Liquidity Risk

SFC Highlights Liquidity Risk Management Deficiencies at Funds

By Editors | 24/08/2019

The SFC asks fund managers to review their current policies, procedures, systems and processes and take immediate action to rectify any inadequacies or deficiencies.

Credit Risk

SEBI to Force Borrowers to Disclose Defaults to CRAs

By Editors | 23/08/2019

The move follows a spate of defaults in India where credit rating agencies were blamed for being unable to flag potential credit risks.

Credit Risk

Singapore Large Exposures Rules to Take Effect in Oct 2020

By Editors | 22/08/2019

MAS published a draft large exposures framework in early 2018, trying to meet the BCBS timeline for adoption in January 2019. The final rules will now take effect in October next year.

Emerging Prudential Risks

APRA Finalises Rule Revisions on Related Entity Exposures

By Editors | 21/08/2019

The revisions may make it more difficult for banking groups to fund offshore business, and force them to restructure or reconsider the relative value of certain group operations.