Regulatory Alerts2023-06-20
Added
DFIM Circular No. 07: Interest/Profit Rate of Deposit and Loan/Lease/Investment
The circular establishes a market-based reference rate (BRR) for interest and profit rates, calculated based on the yield of 182-day Treasury Bills, which financial institutions must use as a baseline. It caps deposit rates at BRR plus 2% and loan/lease/investment rates at BRR plus 5%, with an additional supervisory charge of up to 1% permitted for SME and consumer loans. The document mandates specific procedures for notifying customers of installment changes due to rate adjustments, requires monthly reporting via the DFIM portal, and repeals previous circulars, becoming effective on July 1, 2023.
Topics
Share