Resolution of the Board of the National Bank of the Kyrgyz Republic No. 48/11 of 14 December 2016 on Amending and Supplementing Certain Resolutions of the Board of the National Bank of the Kyrgyz Republic

NATIONAL BANK OF THE KYRGYZ REPUBLIC

RESOLUTION

of 14 December 2016 No. 48/11

On Amending and Supplementing Certain Resolutions of the Board of the National Bank of the Kyrgyz Republic

(As amended by Resolutions of the Board of the National Bank of the Kyrgyz Republic of 29 December 2021 No. 2021-P-12/75-1)

In accordance with Articles 7 and 43 of the Law "On the National Bank of the Kyrgyz Republic", the Board of the National Bank of the Kyrgyz Republic resolves:

1. To introduce amendments and supplements to the following resolutions of the Board of the National Bank of the Kyrgyz Republic (attached):

• "On approval of the Regulation on economic ratios and requirements mandatory for commercial banks and financial-credit institutions licensed by the National Bank of the Kyrgyz Republic" of 21 July 2004 No. 18/1;

• (the paragraph has lost force in accordance with the resolution of the Board of the National Bank of the Kyrgyz Republic of 29 December 2021 No. 2021-P-12/75-1)

• "On approval of the new edition of the Instruction on determining capital adequacy standards for commercial banks of the Kyrgyz Republic" of 21 July 2004 No. 18/2;

• "On approval of the Instruction "On the procedure for complying with open currency position limits by commercial banks on the territory of the Kyrgyz Republic" of 29 December 2004 No. 36/13.

2. This resolution enters into force upon the expiry of fifteen days from the day of official publication.

3. The Legal Department shall:

• publish this resolution on the official website of the National Bank of the Kyrgyz Republic;

• after official publication, send this resolution to the Ministry of Justice of the Kyrgyz Republic for inclusion in the State Register of Normative Legal Acts of the Kyrgyz Republic.

4. The Supervision Methodology and Licensing Department shall bring this resolution to the attention of commercial banks, the Legal Entity "Union of Banks of Kyrgyzstan", microfinance organizations, the Association of Microfinance Organizations, regional departments and the representative office of the National Bank of the Kyrgyz Republic in Batken oblast.

5. Existing commercial banks and microfinance organizations shall, within one month from the moment this resolution enters into force, bring contracts on the use of a trademark into compliance with the requirements of the approved paragraph 4-1 of the Regulation on minimum requirements for the pricing policy of banking services and services provided by microfinance organizations.

6. Control over the execution of this resolution shall be assigned to the member of the Board of the National Bank of the Kyrgyz Republic Dzhusupov T.Dzh.

Chairman of the Board of the National Bank of the Kyrgyz Republic	T. Abdygulov

		Annex to the resolution of the Board of the National Bank of the Kyrgyz Republic of 14 December 2016 No. 48/11

AMENDMENTS AND SUPPLEMENTS to certain resolutions of the Board of the National Bank of the Kyrgyz Republic

(As amended by Resolutions of the Board of the National Bank of the Kyrgyz Republic of 29 December 2021 No. 2021-P-12/75-1)

1. To introduce to the resolution of the Board of the National Bank of the Kyrgyz Republic "On approval of the Regulation on economic ratios and requirements mandatory for commercial banks and financial-credit institutions licensed by the National Bank of the Kyrgyz Republic" of 21 July 2004 No. 18/1 the following amendments and supplements:

in the Regulation on economic ratios and requirements mandatory for commercial banks of the Kyrgyz Republic, approved by the above-mentioned resolution:

• the second paragraph of subparagraph 1 of paragraph 4.2 shall be set out in the following wording:

"- cash funds in the bank's till and ATMs in national and foreign currency;";

• in subparagraph 1 of paragraph 4.9:

the second paragraph shall be set out in the following wording:

"a) cash funds in the bank's till and ATMs in national and foreign currency;";

supplement with paragraphs of the following content:

"i) 20% of funds in correspondent accounts with other banks, except for affiliated banks, banks specified in subparagraph "c" of subparagraph 1 of this paragraph, as well as banks in which direct banking supervision, temporary administration or conservatorship has been introduced, or liquidation proceedings are being carried out;

j) for a branch of a foreign bank - funds in correspondent accounts with other branches of that foreign bank located on the territory of member states of the Organization for Economic Cooperation and Development (hereinafter - OECD) and opened in the currency of those states. The list of OECD member states is posted on the official website www.oecd.org.";

• in subparagraph 1 of paragraph 4.13:

the second paragraph shall be set out in the following wording:

"- cash funds in the bank's till and ATMs in national and foreign currency;";

supplement with paragraphs of the following content:

"- 20% of funds in correspondent accounts with other banks, except for affiliated banks, banks specified in the fourth paragraph of subparagraph 1 of this paragraph, as well as banks in which direct banking supervision, temporary administration or conservatorship has been introduced, or liquidation proceedings are being carried out;

• for a branch of a foreign bank - funds in correspondent accounts with other branches of that foreign bank located on the territory of OECD member states and opened in the currency of those states.";

• paragraph 11.1 shall be set out in the following wording:

"11.1. The total amount of a bank's investments in securities of governments and central banks of OECD member states must not exceed 100% of the bank's net total capital.".

2. (Has lost force in accordance with the resolution of the Board of the National Bank of the Kyrgyz Republic of 29 December 2021 No. 2021-P-12/75-1)

3. To introduce to the resolution of the Board of the National Bank of the Kyrgyz Republic "On approval of the new edition of the Instruction on determining capital adequacy standards for commercial banks of the Kyrgyz Republic" of 21 July 2004 No. 18/2 the following amendment:

in the Instruction on determining capital adequacy standards for commercial banks of the Kyrgyz Republic, approved by the above-mentioned resolution:

• note 1 shall be set out in the following wording:

"(1) OECD - Organization for Economic Cooperation and Development. The list of OECD member states is posted on the official website www.oecd.org.".

4. To introduce to the resolution of the Board of the National Bank of the Kyrgyz Republic "On approval of the Instruction "On the procedure for complying with open currency position limits by commercial banks on the territory of the Kyrgyz Republic" of 29 December 2004 No. 36/13 the following amendment:

in the Instruction on the procedure for complying with open currency position limits by commercial banks on the territory of the Kyrgyz Republic, approved by the above-mentioned resolution:

• subparagraph 3.1.1 of paragraph 3.1 shall be set out in the following wording:

"3.1.1. As of the end of the operational day, the amount of the open long/short currency position for each foreign currency must not exceed:

a) for currencies of countries that are members of the Organization for Economic Cooperation and Development (hereinafter - OECD) and/or for currencies of countries that have signed Article 8 of the "Articles of Agreement" with the IMF - 15% of the bank's net total capital. The list of OECD member states is posted on the official website www.oecd.org. The list of countries that have signed Article 8 of the "Articles of Agreement" with the IMF is posted on the official website www.imf.org;

b) for currencies of countries that have not signed Article 8 of the "Articles of Agreement" with the IMF - 0% of the bank's net total capital (closed position).".