2022-08-24
The Central Bank of The Bahamas issued these regulations to establish comprehensive capital governance and minimum capital adequacy requirements for licensed banks and trust companies. The rules mandate an eight percent Common Equity Tier One capital ratio, require institutions to maintain a robust Internal Capital Adequacy Assessment Process and leverage ratio, and prescribe standardized methods for calculating risk-weighted assets across credit, operational, and market exposures. Supervised financial institutions must submit capital recovery plans and comply with strict reporting obligations, while the Central Bank retains authority to impose additional Pillar Two capital charges and suspend distributions for non-compliance.