Regulatory Alerts2020-06-11
Added · Updated
Circular No. 6278/1/10: Addition of the Military Credit Fund to Eligible Institutions for Preferential Risk Weights
The Central Bank of Jordan amends Annex No. 9 of its regulatory capital instructions to add the Military Credit Fund to the list of eligible institutions for preferential risk weights. This change applies to banks operating in the Kingdom, allowing them to apply preferential risk weights to exposures to this specific entity. The amendment aligns with Basel III Standard No. 67/2016 and IFSB Standard No. 72/2018.
In the Name of Allah, the Most Gracious, the Most Merciful
[Logo of the Central Bank of Jordan]
Number: 6278 / 1 / 10 Date: 17 / 10 / 1441 AH Corresponding to: 9 / 6 / 2020 AD
Circular to Banks Operating in the Kingdom
Greetings,
Following the instructions on regulatory capital according to Basel III Standard No. (67/2016) dated 31 / 10 / 2016 and the instructions on regulatory capital according to the amended Standard No. (15) issued by the Islamic Financial Services Board (IFSB) No. (72/2018) dated 4 / 2 / 2018, and within the framework of the Central Bank's continued approach to follow up and review the instructions and circulars issued by it, it has been decided to add the Military Credit Fund to the list of eligible institutions and establishments to obtain preferential risk weights for banks within Annex No. (9) in the aforementioned instructions.
Please accept our highest respect,
The Governor Dr. Ziad Fries