CAPITAL / LIQUIDITY

Capital / Liquidity

Chinese Authorities Intervene to Prevent Bank Runs – Report

By Editors | 25/06/2020

Local authorities in Hebei and Shanxi reportedly had to intervene last week to halt cash withdrawals at two small lenders amid rumours of mounting bad loans.

Capital / Liquidity

FSC Korea Identifies 10 D-SIBs for 2021

By Editors | 24/06/2020

Shinhan Financial Group subsidiary Jeju Bank has been removed pursuant to April’s temporary easing of regulations to exclude small-sized regional banks from the designation.

Capital / Liquidity

BCBS Proposes Risk Weight Floor for NPL Securitisations

By Editors | 23/06/2020

The BCBS identified a gap in the regulatory framework for securitisations of non-performing loans, which it is seeking to address through a new technical amendment.

Capital / Liquidity

China: Local Govts to Replenish Capital at Smaller, Midsize Banks

By Editors | 22/06/2020

Local governments will be allowed to buy ¥200bn in capital replenishment tools issued by small and midsize banks, with a fixed term, detailed repayment plan, and assurances on corporate governance and asset quality.

Capital / Liquidity

Taiwan Banks Have Stable Risk-bearing Capacity, Adequate Capital: FSC

By Editors | 22/06/2020

Taiwan’s FSC says only a few banks did not pass their stress tests, but they would have if new capital raised this year was taken into account.

Capital / Liquidity

Chinese Officials Ask Banks to ‘Bear the Costs’ of Rising Bad Debt

By Editors | 21/06/2020

Chinese banks are asked to sacrifice 1.5tr yuan in 2020 profits to support businesses through lower lending rates and fees, loan repayment deferrals, and bad debt write-offs.

Capital / Liquidity

RBI Unveils Regulatory Framework for Housing Finance Companies

By Editors | 19/06/2020

The new framework introduces enhanced capital and liquidity requirements for HFCs, and restrictions on intra-group exposures, among other changes.

Capital / Liquidity

Bangladesh Defers End Date of Covid-19 Loan Classification Rules

By Editors | 19/06/2020

Banks should not change the classification of loans between 1 January and 30 September this year, even if borrowers fail to meet their scheduled repayment obligations.

Capital / Liquidity

Sri Lanka Cuts Statutory Reserve Ratio, Expands Lending Facility

By Duruthu E Chandrasekera | 17/06/2020

The CBSL has cut the statutory reserve ratio by 200 basis points, releasing $617mn in liquidity in the banking system. The size of its re-finance facility has also been tripled.