Regulatory Alerts2003-02-08
Added
Notice No. 8/2003 of Banco de Portugal
Banco de Portugal amends Notice No. 3/95 to revise provisioning rules for overdue credit based on guarantee types and the principle of progressive minimum provisioning levels. The notice redefines doubtful credit, introduces differentiated minimum provisioning rates for mortgage-backed housing loans (0.5% for loans >= 75% of collateral value, 1.5% for consumer credit, and 1% for general credit), and mandates specific revaluation periods for guarantees. Credit institutions must transition existing portfolios to the new regime within 18 to 36 months, with released provisions from specific amendments restricted to specific credit risk reserves for six months.
More like this from BDP
We email you every new BDP publication the day it's published.