Regulatory Alerts2026-01-01
Decision on the Criteria and the Manner of Classification of Assets and Calculation of Provisions for Potential Loan Losses of a Credit Institution
This Decision establishes the regulatory framework for credit institutions to classify assets and calculate provisions for potential loan losses in compliance with International Financial Reporting Standards. It mandates quarterly asset quality assessments and defines specific methodologies for valuing collateral, including immovable and movable property, to determine impairment amounts. The regulation further requires individual and collective impairment assessments based on exposure thresholds and risk characteristics to ensure accurate financial reporting of credit risks.
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