Regulatory Alerts2024-02-29
Added · Updated
Circular dated February 29, 2024 regarding financing controls for financial leasing companies
The Central Bank mandates that financial leasing companies maintain a minimum liquidity reserve of 5% of total deposits and a minimum capital adequacy ratio of 10% of total assets. It requires these companies to report all financing transactions to the credit bureau, restricts financing to entities with no outstanding loans, and prohibits financing for activities outside their approved scope or involving prohibited sectors. Additionally, companies must ensure their financing activities align with their licensed business scope and report any changes to their board of directors or major shareholders within three days.