Regulatory Alerts2020-11-04
Regulation on the Establishment, Licensing, Supervision, Functioning, and Termination of the Bridge Bank
The Supervisory Council of the Bank of Albania issued Decision No. 62 to approve a comprehensive regulatory framework governing bridge banks as a resolution tool. The regulation mandates that the Bank of Albania license these temporary, non-transferable entities while permitting eased initial capital and supervisory requirements to ensure the continuity of critical banking functions. It further establishes strict protocols for asset and liability transfers, ongoing administrative supervision, transparent sale strategies, and a maximum two-year operational lifespan before licence revocation or liquidation.
Share