CAPITAL / LIQUIDITY

Capital / Liquidity

China Allows Non-banks to Sell Bad Debt Overseas

By Manesh Samtani | 29/05/2018

SAFE also simplified the process for transferring NPLs to foreign investors for non-banks; previously only banks were allowed to sell bad debt to foreign investors.

Capital / Liquidity

Philippines Further Reduces Reserve Requirements

By JP Reimann | 28/05/2018

The 100 basis point RRR reduction is expected to help facilitate healthy price discovery on the cost of funds in the financial system.

Capital / Liquidity

BNZ Restates Capital Adequacy Ratios Due to Data Errors

By Garima Chitkara | 28/05/2018

BNZ reported a 34 basis point overstatement of its capital adequacy ratio in its most recent quarterly earnings due to data collection error, marginal overstatement of capital adequacy due to mistakes in collateral value calculation.

Market Infrastructure

FRTB – Ending or Evolving Trading Culture

By Peter Guy | 28/05/2018

FRTB will force banks to change their operating models, bringing them out of product and trading desk silos. Bank trading culture and the trading desk concept may need to evolve to accommodate a wider picture of risk taking.

Capital / Liquidity

S. Korea Allows Wider Range of Assets as Loan Collateral

By Manesh Samtani | 24/05/2018

Loan collateral can include movable assets such as intellectual property, claims on future sales, half-finished goods, machinery, inventory, raw materials and electronic appliances.

Capital / Liquidity

US Fed Vice Chairman Suggests Lower Capital Requirements for Foreign Banks

By JP Reimann | 21/05/2018

Vice chairman proposes lowering capital requirements, streamlining resolution rules of failing foreign banks, in acknowledgment of steps taken by other regulators.

Capital / Liquidity

China Boosts Offshore RMB Liquidity as MSCI Inclusion Looms

By Garima Chitkara | 21/05/2018

PBOC allows offshore clearing banks to access mainland liquidity, cuts RMB reserve ratio of clearing banks to zero percent, among other measures.

Capital / Liquidity

Hong Kong Bank Exposure Rules Gazetted

By Garima Chitkara | 21/05/2018

Government close to finalising legislative framework that will enable the HKMA to set concentration limits for banks’ equity exposures.

Capital / Liquidity

RBI Mandates 100pc NSFR for Banks

By Garima Chitkara | 21/05/2018

The Indian central bank finalised its liquidity guidelines for banks requiring a 100% Net Stable Funding Ratio, in line with Basel III rules.