Regulatory Alerts2017-12-06 | 72/2017Bank of Albania Regulation on Banks Recovery Plans (No. 72/2017)
The Bank of Albania’s Supervisory Council issued Decision No. 72/2017 to approve a new regulation mandating that licensed banks and foreign bank branches draft, update annually, and submit comprehensive recovery plans. The regulation establishes detailed supervisory requirements, including mandatory qualitative and quantitative indicators across capital, liquidity, profitability, asset quality, and macroeconomic categories, alongside defined recovery options and strategic analysis. It supersedes the 2014 recovery plans guideline and requires banks to identify viable recovery measures, coordinate with foreign supervisors, and maintain robust risk management frameworks to ensure timely financial stabilization during stress events.
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