Regulatory Alerts2017-07-06
Large Exposures Regulation
The Central Bank of Myanmar issued the Large Exposures Regulation to cap financial exposures for all banks at 20 percent of core capital per counterparty or connected group. The directive mandates quarterly reporting, sets aggregate exposure limits at eight times core capital, and requires institutions with existing exposures exceeding the threshold to submit a compliance plan within ninety days. State-owned banks receive targeted exemptions for government-directed loans, while non-compliance triggers administrative penalties and corrective actions under the Financial Institutions Law.
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