Regulatory Alerts2012-04-02
Instruction IGR/2012 Establishing the Maximum Risk Division Coefficient and Defining Control and Significant Influence
The Central Bank of Mauritania has issued Instruction IGR/2012 to establish a permanent 25% maximum risk division coefficient and define the concepts of exclusive control, joint control, and significant influence for credit institutions. The regulation mandates that weighted risks on beneficiaries exceeding 10% of net equity must not exceed eight times net equity, while requiring institutions to implement robust internal risk management and submit monthly declarations using standardized annex models. Furthermore, it specifies detailed weighting rates for on- and off-balance sheet elements, outlines deductible guarantees, and empowers the Central Bank to enforce compliance through injunctions and sanctions.
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