Regulatory Alerts2024-04-26
Guidelines on the Submission of the Report on Large Exposures (LEX)
The Bangko Sentral ng Pilipinas issued Memorandum No. M-2024-013 to mandate that all universal, commercial, subsidiary, and quasi-banks submit their Large Exposures reports via the Integral Financial Supervision System. The directive requires institutions to file XML reports and signed Control Prooflists every semester within 15 banking days after the reference period, with the first deadline set for 31 May 2024. Covered banks must utilize API-based machine-to-machine submission, while subsidiary quasi-banks may use either their own converters or the BSP facility until further notice.
Page Classification: GENERAL
OFFICE OF THE DEPUTY GOVERNOR I FINANCIAL SUPERVISION SECTOR MEMORANDUM NO. M-2024- _________ To : ALL UNIVERSAL/COMMERCIAL BANKS (UBs/KBs) and their SUBSIDIARY BANKS and QUASI-BANKS (QBs) Subject : Guidelines on the Submission of the Report on Large Exposures (LEX) Pursuant to the Prudential Framework for Large Exposures Monitoring Threshold as embodied under BSP Circular No. 1150 dated 23 August 2022, the following guidelines shall be observed in the submission of the Report on Large Exposures beginning with the reporting period 31 December 2023:
- The XML Schema Definition (XSD), corresponding Control Prooflist (CP) and Data Structure can be downloaded from the Report Details module of the Integral Financial Supervision System (IFSS) Submission Portal under the BSP Relationship Management System (BRMS) which can be accessed at https://brms.bsp.gov.ph using the latest version of web browsers such as Microsoft Edge, Internet Explorer, Firefox and Google Chrome.
- The XML, together with the scanned CP, duly signed by the authorized officials of the concerned BSP Supervised Financial Institutions (BSFIs), shall be submitted via the API facility, in accordance with the following specifications: Report Code Files for Submission File extension/ Format LEX LEX Report in XML Control Prooflist CP in PDF
- The LEX report shall be submitted every semester for both solo and consolidated bases on or before 15 banking days after reference period. The end-December 2023 report shall be submitted to the Department of Supervisory Analytics (DSA) on or before 31 May 2024. Subsequent reporting periods shall be due within the prescribed deadline. For covered banks
- Detailed guidelines on the implementation of API-based submission via machine-to-machine modality and the use of IFSS Submission Portal of covered institutions are provided in Memorandum No. M-2023-022 dated 20 July 2023.
Page 2 of 2 For Subsidiary QBs 5. Subsidiary QBs shall accomplish the registration form prescribed under Memorandum No. M-2017-028 dated 11 September 2017 and identify a maximum of two (2) authorized officers who will be allowed to access the IFSS under the BRMS. 6. In generating their XML reports, subsidiary QBs may use either their own XML converter facility or BSP XML converter facility, which is made available in the IFSS Submission Portal under the BRMS. 7. Subsidiary QBs shall submit their generated XML report through machine-to-machine modality using the QB’s chosen process as coordinated with the BSP. In case submission via machine-to-machine is not yet available, covered QBs may use the IFSS Submission Portal under the BRMS until further notice. Other Submission Guidelines 8. Report submissions should continue to comply with existing BSP reporting standards. It likewise follows that only files prescribed by the BSP for the report shall be accepted and validated, subject to applicable sanctions for reporting violations as provided under Section 171/172-Q of the Manual of Regulations for Banks/Manual of Regulations for Non-Bank Financial Institutions. 9. Queries regarding the LEX Report submission guidelines shall be sent via e-mail to DSAReports@bsp.gov.ph following the prescribed format as the subject, [INQUIRY] LEX Report. For compliance. CHUCHI G. FONACIER Deputy Governor 26 April 2024