CAPITAL / LIQUIDITY

Capital / Liquidity

APRA to Recommence Policy Work, Licensing Activity

By Editors | 10/08/2020

APRA will recommence public consultations on high-priority prudential policy reforms, and begin accepting new licence applications in September.

Capital / Liquidity

MAS Calls on Finance Companies to Moderate Dividends

By Editors | 08/08/2020

The dividend restriction is a pre-emptive measure to bolster the finance companies’ ability to continue to support the credit needs of businesses and consumers.

Capital / Liquidity

RBI Adopts New Measures to Ease Covid-19 Financial Stress

By Editors | 06/08/2020

A new resolution framework will allow banks to continue to maintain the ‘standard’ classification for corporate borrowers in resolution rather than downgrade the account, among other measures.

Capital / Liquidity

PBOC to Authorise Bankruptcy Filing of Baoshang Bank

By Editors | 06/08/2020

The decision was made based on “severe insolvency” found at Baoshang Bank. The last commercial bank allowed to go bankrupt in China was in 2001.

Capital / Liquidity

MAS Asks Singapore-headquartered Banks to Cap Dividends

By Editors | 29/07/2020

Locally-headquartered banks are asked to cap fiscal 2020 dividends as a pre-emptive measure to ensure sustained lending given “significant uncertainties” ahead.

Capital / Liquidity

APRA Moderates Approach to Bank Dividends in New Guidance

By Editors | 29/07/2020

Banks should retain at least half of their earnings when making capital distribution decisions, which should be informed by regular stress testing to demonstrate ongoing lending capacity.

Capital / Liquidity

China Prepares to Bail Out State-owned Enterprises, Banks

By Editors | 27/07/2020

State-owned China Reform Holdings has set up a bailout fund to help ensure SOEs can avoid bond defaults. Meanwhile, 18 provincial governments have approval to inject capital into banks.

Capital / Liquidity

Bangladesh Bank Spares No Effort to Boost CMSME Lending

By Editors | 27/07/2020

In the past week, the central bank has sharply eased loan classification and provisioning rules, and offered credit guarantees, to try and address an unwillingness among banks to lend to small businesses.

Capital / Liquidity

RBI Warns of Rising Bad Loans, While Urging Against Risk Aversion

By Editors | 27/07/2020

In a ‘very severe shock’ scenario, 23 banks would fail to maintain the 9% capital-to-risk weighted assets ratio, and the NPA ratio would reach 14.7%.