Regulatory Alerts2018-02-20 | CD-SIBOIF-1042-1-FEB20-2018Added · Updated
Resolution Reforming Article 7 and Annex B of the Regulation on Investment Limits for Insurance, Reinsurance, and Surety Companies
The Superintendence of Banks and Other Financial Institutions issued Resolution No. CD-SIBOIF-1042-1-FEB20-2018 to amend Article 7 and Annex B of the Regulation on Investment Limits for Insurance, Reinsurance, and Surety Companies. The reform permits these entities to invest up to 25% of their Investment Sufficiency Calculation Base in shares of real estate investment funds and real estate development funds registered with the Superintendence. The updated limits also specify caps for other assets, including 60% in time deposits, 20% in bills of exchange, and 20% in mortgage loans, while removing limits on securities issued by the Central Government and Central Bank of Nicaragua. This regulation entered into force upon notification on February 20, 2018.