2007-05-11 | 8-157Added · Updated
Credit unions must ensure their deposit base does not exceed 450% of institutional capital if licensed to attract member deposits. Newly created credit unions must limit external borrowings to equity capital in their first year, and to total capital or four times institutional capital (whichever is greater) in their second year. Existing credit unions must keep the H1.2 standard for maximum external borrowings at no more than four times institutional capital. This resolution enters into force upon official publication after state registration in the Ministry of Justice.
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Registered in the Ministry of Justice of the Kyrgyz Republic
June 14, 2007. Registration number 56-07
Bishkek
from May 11, 2007 No. 25/2
RESOLUTION OF THE BOARD OF THE NATIONAL BANK
OF THE KYRGYZ REPUBLIC
On Amendments to the Resolution of the Board of the
National Bank of the Kyrgyz Republic "On the New
Edition of the Rules Regulating the Activities
of Credit Unions in the Kyrgyz Republic"
No. 14/2 of May 4, 2005
Having considered the proposed draft amendments to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On the New Edition of the Rules Regulating the Activities of Credit Unions in the Kyrgyz Republic" No. 14/2 of May 4, 2005, registered in the Ministry of Justice of the Kyrgyz Republic on June 6, 2005, registration number 73-05, the Board of the National Bank of the Kyrgyz Republic resolves:
Approve amendments to the resolution of the Board of the National Bank of the Kyrgyz Republic "On the New Edition of the Rules Regulating the Activities of Credit Unions in the Kyrgyz Republic" No. 14/2 of May 4, 2005, registered in the Ministry of Justice of the Kyrgyz Republic on June 6, 2005, registration number 73-05 (attached).
The Supervision and Licensing Methodology Department together with the Legal Department shall, in the established manner, carry out state registration of this resolution in the Ministry of Justice of the Kyrgyz Republic.
This resolution enters into force from the moment of official publication after state registration in the Ministry of Justice of the Kyrgyz Republic.
After the publication of the registered normative legal act, the Legal Department shall inform the Ministry of Justice of the Kyrgyz Republic about the source of publication (name of the edition, its number and date).
Control over the implementation of this resolution is entrusted to the Board Member of the NBRK S.E. Zhanibekova.
Chairman of the Board of the National
Bank of the Kyrgyz Republic M. Alapaev
Approved
by the Resolution of the Board
of the National Bank
of the Kyrgyz Republic
of May 11, 2007 No. 25/2
AMENDMENTS
to the Resolution of the Board of the National Bank
of the Kyrgyz Republic "On the New Edition of the Rules
Regulating the Activities of Credit Unions
in the Kyrgyz Republic" No. 14/2 of May 4, 2005,
registered in the Ministry of Justice
of the Kyrgyz Republic on June 6, 2005,
registration number 73-05
Kyrgyz Republic shall be worded as follows:
"4.4. For credit unions holding a license to attract deposits (deposits) from credit union members, the maximum size of the deposit base must not exceed 450% of the institutional capital."
In the third paragraph of paragraph 5.1 of the Rules Regulating the Activities of Credit Unions in the Kyrgyz Republic, after the words "institutional capital of the credit union - IC," delete the words "coefficient - K,".
Paragraph 5.1.1 of the Rules Regulating the Activities of Credit Unions in the Kyrgyz Republic shall be worded as follows:
"5.1.1. For newly created credit unions, the standard for the maximum size of external borrowings (N1.1) is determined according to the table:
| Period of operation of the credit union | 1 year | 2 year |
|---|---|---|
| Calculation of N1.1 | N1.1 (<=) DC | N1.1 (<=) DC + IC |
| or | ||
| N1.1 (<=) IC x 4 | ||
| depending on | ||
| which is greater |
During the first year of operation of a newly created credit union, the size of external borrowings must not exceed the size of equity capital.
During the second year of operation of a newly created credit union, the size of external borrowings must not exceed the size of total capital or four times the size of institutional capital, depending on which is greater."
"5.1.2. For existing credit unions, the standard for the maximum size of external borrowings (H1.2) is determined by the formula:
H1.2 (<=) IC x 4
The value of the standard for the maximum size of external borrowings for existing credit unions (H1.2) must not exceed four times the size of institutional capital."
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Source: National Bank of the Kyrgyz Republic — original document · Summary generated with machine assistance and reviewed before publication; the authoritative text is the regulator's original document. How RegAlert works
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