Regulatory Alerts2016-10-01
COBAC Instruction I-2015/01 Amending the Chart of Accounts for Credit Institutions
The Central African Banking Commission (COBAC) issued Instruction I-2015/01 to amend the Chart of Accounts for credit institutions, introducing a classification system that distinguishes between 'performing' and 'sensitive' exposures across all credit categories. The regulation mandates the subdivision of account codes for long-term, medium-term, and short-term credits, as well as customer accounts and off-balance sheet commitments, to reflect this risk-based classification. It also establishes specific definitions for eligible guarantees, sets minimum provisioning rates for general credit risk, and defines the procedures for reclassifying restructured or rescheduled loans.
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