Prudential Risk

Liquidity Risk

RBI Opposes Finance Ministry Plan to Use Gold Deposits for Bank Cash Reserve Ratio

By Editors | 25/06/2015

The Reserve Bank of India has written to the finance ministry in opposition to its plan to use gold deposits as bank cash reserve ratio.

Liquidity Risk

China to Scrap Loan-to-Deposit Cap for Banks

By Editors | 25/06/2015

China’s cabinet has proposed scrapping a rule that caps lending by commercial banks at 75 percent of their deposits to help boost credit expansion as it looks to revive its economic growth.

Emerging Prudential Risks

China Regulator to Allow Banks in Free Trade Zone to Trial New Businesses

By Editors | 25/06/2015

The China Banking Regulatory Commission will allow banks in the free trade zone to try new and innovative businesses under a special regulatory and risk management mechanism.

Payments & Settlements

MAS Reprimands SGX for Market Outages

By Editors | 25/06/2015

The Monetary Authority of Singapore has reprimanded the Singapore Exchange for lapses related to market outages and is directing it to improve recovery capabilities and processes.

Credit Risk

S. Korea to Lower Max Loan Rate for Subprime Borrowers

By Editors | 25/06/2015

South Korea’s Financial Services Commission announced it will lower the interest rate ceiling for subprime loans later this year, from 34.9 percent to 29.9 percent.

Payments & Settlements

Operating Hours of Yuan Liquidity Facility Extended by HKMA

By Editors | 24/06/2015

The Hong Kong Monetary Authority announced that it will extend the operating hours of the intraday repo under the Renminbi Liquidity Facility from July 20.

Emerging Prudential Risks

Asset Managers Do Not Pose Systemic Risk, Says Medcraft

By Editors | 23/06/2015

Australian Securities and Investments Commission chairman Greg Medcraft dismisses concerns that large asset managers pose a systematic risk to the financial system.

Market Risk

New Governance Code May Help Japanese Banks Reduce Holdings of Client Stocks

By Editors | 23/06/2015

Japan’s new corporate governance code may enable banks to sell off holdings of clients’ stocks and free up their balance sheets.

Liquidity Risk

Moody’s Sees Korean Banks as Credit Positive

By Editors | 23/06/2015

The high liquidity coverage ratios reported by Korean banks with their March quarterly results are credit positive, according to a report by Moody’s Investors Service.