Featured Product

    Central Bank of Oman Issues Resolution Framework for Banks

    April 15, 2019

    The Central Bank of Oman (CBO) issued the bank resolution framework, which provides the recovery and resolution regime for the banking sector. The purpose of the framework is to prepare banks for self-propelled recovery and, if circumstances necessitate, allow authorities to resolve banks in an orderly manner with least disruption and minimal cost to the national exchequer while preserving financial stability. The framework will be applicable to all banks designated as domestic systemically important banks (D-SIBs) by CBO. At its discretion, CBO may apply all or parts of the framework to any other bank it licenses.

    The bank resolution framework puts in place effective procedures to ensure that in the extreme event of any problems occurring at banks, the damage to the entire financial system of the country is kept at the minimum. The framework also offers incentives to banks to adopt strategies that enable the authorities to manage banking crisis with minimal use of public funds while preserving financial stability. With proper incentive structure and effective procedures in place, the public perception on the robustness of the health of the banking sector would improve and that would eventually boost the financial stability in Oman. CBO will separately issue instructions on recovery and resolution planning to the banks that are required to prepare and submit such plans.

    With the issuance of bank resolution framework, CBO has become one of the first central banks in the region to formalize its bank recovery and resolution regime, which reflects its commitment to continue to enhance its regulatory and supervisory framework in line with the international best practices and evolving industry dynamics. The release of the resolution framework in Oman is in line with the FSB-published "Key Attributes of Effective Resolution Regimes for Financial Institutions."

     

    Keywords: Middle East and Africa, Oman, Banking, Resolution Framework, Financial Stability, D-SIBs, FSB, CBO

    Featured Experts
    Related Articles
    News

    EBA Guide to Monitor Threshold for Intermediate Parent Undertakings

    The European Banking Authority (EBA) published the final guidelines on the monitoring of the threshold and other procedural aspects on the establishment of intermediate parent undertakings in European Union (EU), as laid down in the Capital Requirements Directive (CRD).

    July 28, 2021 WebPage Regulatory News
    News

    PRA Finalizes Approach to Supervision of International Banks

    In a recent Market Notice, the Bank of England (BoE) confirmed that green gilts will have equivalent eligibility to existing gilts in its market operations.

    July 26, 2021 WebPage Regulatory News
    News

    FCA Issues PS21/9 on Implementation of Investment Firms Regime

    The Financial Conduct Authority (FCA) published the policy statement PS21/9 on implementation of the Investment Firms Prudential Regime.

    July 26, 2021 WebPage Regulatory News
    News

    EBA Proposes Regulatory Standards to Identify Shadow Banking Entities

    The European Banking Authority (EBA) proposed regulatory technical standards that set out criteria for identifying shadow banking entities for the purpose of reporting large exposures.

    July 26, 2021 WebPage Regulatory News
    News

    IOSCO Proposes Recommendations on ESG Ratings and Data Providers

    The Board of the International Organization of Securities Commissions (IOSCO) proposed a set of recommendations on the environmental, social, and governance (ESG) ratings and data providers.

    July 26, 2021 WebPage Regulatory News
    News

    ESMA Group Issues Recommendations on RFR Switch in Interdealer Market

    The European Securities and Markets Authority (ESMA) published recommendations from the Working Group on Euro Risk-Free Rates (RFR) on the switch to risk-free rates in the interdealer market.

    July 26, 2021 WebPage Regulatory News
    News

    EC to Defer Application of SFDR Standards Till July 2022

    The European Commission (EC) announced plans to defer the application of 13 regulatory technical standards under the Sustainable Finance Disclosure Regulation (2019/2088) by six months, from January 01, 2022 to July 01, 2022.

    July 23, 2021 WebPage Regulatory News
    News

    EIOPA Consults on Reporting and Disclosures Under Solvency II

    The European Insurance and Occupational Pensions Authority (EIOPA) proposed to amend the supervisory statement on supervision of run-off undertakings that are subject to Solvency II regulation.

    July 23, 2021 WebPage Regulatory News
    News

    BoE Consults on Approach to Setting MREL, Publishes Bail-In Guidance

    The Bank of England (BoE) published a consultation paper on approach to setting minimum requirement for own funds and eligible liabilities (MREL), an operational guide on executing bail-in, and a statement from the Deputy Governor Dave Ramsden.

    July 22, 2021 WebPage Regulatory News
    News

    EBA Seeks Views on Proportionality Assessment Methodology

    The European Banking Authority (EBA) is seeking preliminary input on standardization of the proportionality assessment methodology for credit institutions and investment firms.

    July 22, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 7295