BOT published accounting guidelines on the temporary relief measures for businesses that provide assistance to debtors affected by COVID-19 crisis. The key areas in which temporary relief measures have been provided include measurement of anticipated credit losses, disclosures, classification of debtors, and other accounting guidelines. BOT also announced a waiver of compliance with certain operational and supervisory regulations of BOT during the COVID-19 situation. These include rules for classification and provisioning of special financial institutions, preparation of financial statements of specialized financial institutions, and regulations to supervise information technology risks of financial institution. Additionally, BOT has issued recommendations for commercial banks to strengthen funds to address the impact of COVID-19.
BOT has issued the following recommendations for commercial banks to:
- Prepare a fund management plan for the next 1 to 3 years for submission to the commercial bank board for consideration
- Omit the payment of interim dividends from the operating results in 2020 because the future performance still faces high uncertainty
- Not to repurchase shares or debt instruments that are included as tier 1 capital or tier 2 capital before maturity
With respect to granting loans, BOT published guidelines on the exemption of registration fees arising from granting loans to enterprises in accordance with the Emergency Decree that provides financial assistance to enterprises affected by the COVID-19 pandemic. It announced measures to assist retail customers (phase 2) amid pandemic, provided guidelines on providing financial assistance measures to enterprises affected by the COVID-19 pandemic, and issued notification on delaying of debt settlement for enterprises affected by COVID-19 pandemic.
Related Links (in Thai)
- Notification on Accounting Guidelines
- Notification on Waiver of Compliance with BOT Regulations
- Notification on Recommendations to Banks
- Notification on Guidelines on Exemption of Registration Fees
- Notification on Guidelines on Providing Financial Assistance
- Notification on Delaying Debt Settlement
- Notification on Measures to Assist Retail Customers (Phase 2)
Keywords: Asia Pacific, Thailand, Banking, Securities, Accounting, COVID-19, SME, Credit Risk, Operational Risk, Financial Assistance, Regulatory Capital, BOT
Previous ArticleGLEIF Publishes Version 1.2 of Entity Legal Forms Code List
The U.S. Federal Reserve Board (FED) set out details of the pilot climate scenario analysis exercise to be conducted among the six largest U.S. bank holding companies.
The Board of Governors of the Federal Reserve System (FED) adopted the final rule on Adjustable Interest Rate (LIBOR) Act.
The European Central Bank (ECB) published an updated list of supervised entities, a report on the supervision of less significant institutions (LSIs), a statement on macro-prudential policy.
The Hong Kong Monetary Authority (HKMA) published a circular on the prudential treatment of crypto-asset exposures, an update on the status of transition to new interest rate benchmarks.
The European Commission (EC) adopted the standards addressing supervisory reporting of risk concentrations and intra-group transactions, benchmarking of internal approaches, and authorization of credit institutions.
The China Banking and Insurance Regulatory Commission (CBIRC) issued rules to manage the risk of off-balance sheet business of commercial banks and rules on corporate governance of financial institutions.
The Hong Kong Monetary Authority (HKMA) made announcements to address sustainability issues in the financial sector.
The European Banking Authority (EBA) published regulatory standards on identification of a group of connected clients (GCC) as well as updated the lists of identified financial conglomerates.
The General Board of the European Systemic Risk Board (ESRB), at its December meeting, issued an updated risk assessment via the quarterly risk dashboard and held discussions on key policy priorities to address the systemic risks in the European Union.
The Financial Conduct Authority (FCA) is seeking comments, until December 21, 2022, on the draft guidance for firms to support existing mortgage borrowers.