Regulatory Alerts2020-01-01
Decree No. 21-017/PR Promulgating Law No. 20-027/AU on the Restructuring and Resolution of Financial Institutions
The President of the Union of the Comores promulgates Law No. 20-027/AU to establish the legal framework for the restructuring and resolution of financial institutions facing difficulties. The law mandates the preparation of recovery plans by institutions and empowers the Central Bank of the Comores to impose early intervention measures, including capital requirements and operational restrictions, to address non-compliance or insolvency risks. In severe cases, the Central Bank may suspend management, appoint provisional administrators with extensive powers, or initiate resolution procedures to ensure financial stability and protect depositors.
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