Regulatory Alerts2018-09-11 | CD-SIBOIF-1072-1-SEP11-2018Added · Updated
Norm Amending Article 5 of the Standard on the Establishment of Countercyclical Provisions
The Board of Directors of the Superintendence of Banks and Other Financial Institutions (SIBOIF) amended Article 5 of the Standard on the Establishment of Countercyclical Provisions to define the calculation and proration of the initial countercyclical provision fund over a period of up to four years. The amendment grants the Superintendent the authority to temporarily suspend or reactivate the establishment of this fund, with suspended periods excluded from the total duration. These provisions entered into force upon notification of the resolution.
Page 1 of 2 Resolution No. CD-SIBOIF-1072-1-SEP11-2018 Dated September 11, 2018
NORM AMENDING ARTICLE 5 OF THE STANDARD ON THE ESTABLISHMENT OF COUNTERCYCLICAL PROVISIONS
The Board of Directors of the Superintendence of Banks and Other Financial Institutions,
CONSIDERING
SOLELY
That in accordance with what is established in Article 10, numeral 1) of Law No. 316, Law of the Superintendence of Banks and Other Financial Institutions, published in La Gaceta, Official Journal No. 196, of October 14, 1999, and its amendments, it corresponds to the Board of Directors of the Superintendence of Banks and Other Financial Institutions to issue general norms to strengthen and preserve the security and confidence of the public in institutions under the supervision, inspection, surveillance, and auditing of the Superintendence.
In exercise of its powers,
HAS ISSUED
The following,
Resolution No. CD-SIBOIF-1072-1-SEP11-2018 NORM AMENDING ARTICLE 5 OF THE STANDARD ON THE ESTABLISHMENT OF COUNTERCYCLICAL PROVISIONS
FIRST: Article 5 of the Standard on the Establishment of Countercyclical Provisions, contained in Resolution No. CD-SIBOIF-1016-1-SEP19-2017, dated September 19, 2017, published in La Gaceta, Official Journal, No. 187 of October 3, 2017, is hereby amended, which shall read as follows:
“Article 5. Plan for the establishment of the initial fund.- SIBOIF shall calculate the initial countercyclical provision fund and prorate it monthly in equal amounts over the period of up to 4 years referred to in Article 4 of this standard. The Superintendent may temporarily suspend the establishment of the initial countercyclical provision fund, as well as reactivate its continuity. The time during which the establishment of the initial fund remains suspended shall not count as part of the aforementioned period. The Superintendent shall inform the Board of Directors when it suspends or reactivates the establishment of the fund.”
SECOND: The provisions set forth in this resolution are hereby fully incorporated into the Standard on the Establishment of Countercyclical Provisions, contained in Resolution No. CD-SIBOIF-1016-1-SEP19-2017, dated September 19, 2017.
THIRD: This standard shall enter into force upon its notification. (F) S. Rosales C. (F) V. Urcuyo V. (F) Fausto Reyes B. (F) Illegible (Silvio Moisés Casco Marenco) (F) Illegible (Rafael Ángel Avellán Rivas).
RAFAEL ÁNGEL AVELLÁN RIVAS Secretary of the Board of Directors SIBOIF