Gazettal of Banking (Amendment) Bill 2017
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The Bill seeks to implement the latest standards promulgated by the Basel Committee on Banking Supervision in relation to financial exposure limits of authorised institutions (AIs) by empowering the Monetary Authority (MA) to prescribe rules for such limitations.
In accordance with the recommendations of the Financial Stability Board, the Bill also empowers the MA to require AIs to maintain, revise or implement a recovery plan, which should set out the measures that the institution can take to stabilise and restore its financial resources and viability in the event that it comes under severe stress.
A government spokesperson said, "The Bill is intended to bring Hong Kong’s regulatory regime up to date in line with international standards. It will contribute to the stability of the banking system and add to the credibility of Hong Kong as an international financial centre."
A Hong Kong Monetary Authority spokesperson said, "We have closely engaged the banking industry in formulating the Bill. The Bill will strengthen the existing financial exposure regime under the Banking Ordinance, and provide greater transparency in respect of the recovery planning process for AIs."
The Bill will be introduced into the Legislative Council for first reading on October 25, 2017.
Ends/Friday, October 13, 2017
Issued at HKT 12:00
Issued at HKT 12:00
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