Regulatory Alerts2016-10-05 | 105/2016Regulation 105/2016 on Risk Management for Savings and Loan Associations and Their Unions
The Bank of Albania’s Supervisory Council approved Regulation 105/2016 to establish comprehensive risk management rules for licensed savings and loan associations and their Unions. The regulation mandates specific capital adequacy ratios, maximum allowable large exposure limits, foreign exchange position caps, and strict loan classification standards ranging from standard to loss categories. It further requires institutions to maintain robust internal audit units, implement structured loan restructuring and reserve fund provisioning, and submit to continuous supervisory monitoring by the central bank.
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