Featured Product

    MAS Decides Not to Amend Capital Adequacy Rules for Merchant Banks

    February 01, 2019

    MAS published the response to feedback received on proposed amendments to MAS Notice 1111 on risk-based capital adequacy requirements for merchant banks in Singapore. Based on the responses received and certain other factors, MAS has decided not to proceed with the proposed amendments to MAS Notice 1111 and will continue to apply the existing requirements under this notice.

    In October 2014, MAS had consulted on the amendments to MAS Notice 1111 to strengthen the capital framework for merchant banks by incorporating key components of the Basel III capital standards as were then set out by BCBS. Annex A contains the list of respondents to the consultation. Some respondents supported adopting key components of the Basel III capital standards in the capital framework for Singapore-incorporated merchant banks, to enhance their resilience in times of stress. Other respondents commented that the nature of activities and risks undertaken by merchant banks should be considered in determining the appropriate capital standards.

    In December 2017, BCBS had finalized reforms to the Basel III capital standards that apply to internationally active banks, while giving national supervisors the discretion to apply prudential standards to banks that are not internationally active. In this context, MAS will not proceed with the proposed amendments to MAS Notice 1111. The existing risk-based capital requirements under MAS Notice 1111 will continue to apply to Singapore-incorporated merchant banks. MAS will consider the appropriateness of the revised Basel capital standards for merchant banks, and consult the industry on any proposed revisions.

     

    Keywords: Asia Pacific, Singapore, Banking, Basel III, Capital Adequacy, Risk-based Capital Requirements, MAS Notice 1111, MAS

    Featured Experts
    Related Articles
    News

    APRA Publishes FAQs on Capital Treatment of Overseas Subsidiaries

    The Australian Prudential Regulation Authority (APRA) published a new set of frequently asked questions (FAQs) to clarify the regulatory capital treatment of investments in the overseas deposit-taking and insurance subsidiaries.

    September 15, 2021 WebPage Regulatory News
    News

    PRA Finalizes Changes to Consolidated Prudential Rules Under CRD5/CRR2

    The Prudential Regulation Authority (PRA) issued the policy statement PS20/21, which contains final rules for the application of existing consolidated prudential requirements to financial holding companies and mixed financial holding companies.

    September 15, 2021 WebPage Regulatory News
    News

    EBA Finalizes Guidance to Assess Breaches of Large Exposure Limits

    The European Banking Authority (EBA) published the final report on the guidelines specifying the criteria to assess the exceptional cases when institutions exceed the large exposure limits and the time and measures needed for institutions to return to compliance.

    September 15, 2021 WebPage Regulatory News
    News

    EBA Revises Guidelines on Stress Tests of Deposit Guarantee Schemes

    The European Banking Authority (EBA) revised the guidelines on stress tests to be conducted by the national deposit guarantee schemes under the Deposit Guarantee Schemes Directive (DGSD).

    September 15, 2021 WebPage Regulatory News
    News

    HKMA Endorses Industry Guidance to Support LIBOR Transition

    The Hong Kong Monetary Authority (HKMA) issued a circular, for all authorized institutions, to confirm its support of an information note that sets out various options available in the loan market for replacing USD LIBOR with the Secured Overnight Financing Rate (SOFR).

    September 14, 2021 WebPage Regulatory News
    News

    OCC Issues Booklet on Supervision of Problem Banks

    The Office of the Comptroller of the Currency (OCC) issued a new "Problem Bank Supervision" booklet of the Comptroller's Handbook. The booklet covers information on timely identification and rehabilitation of problem banks and their advanced supervision, enforcement, and resolution when conditions warrant.

    September 13, 2021 WebPage Regulatory News
    News

    MAS Consults on Capital and Reporting Requirements for Market Risk

    The Monetary Authority of Singapore (MAS) launched a consultation on the standards for market risk capital and the associated reporting requirements for banks incorporated in Singapore.

    September 13, 2021 WebPage Regulatory News
    News

    FDIC Announces Winners of Tech Sprint to Reach Unbanked Consumers

    The tech lab of the Federal Deposit Insurance Corporation (FDIC) selected three winning teams in a tech sprint designed to explore new technologies and techniques to help banks meet the needs of unbanked consumers.

    September 13, 2021 WebPage Regulatory News
    News

    PRA Letter Sets Out Findings on Reliability of Regulatory Reporting

    PRA published a "Dear CEO" letter that sets out findings of a review on the reliability of regulatory reporting and reiterates the supervisory expectations on regulatory reporting.

    September 10, 2021 WebPage Regulatory News
    News

    APRA Connect to Go Live; APRA to Reduce Reliance on CLF

    The Australian Prudential Regulation Authority (APRA) confirmed that its new data collection solution APRA Connect will go live on September 13, 2021.

    September 10, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 7472