Fitch says Lankan banks’ ratings unaffected by proposed FLC mergers | Daily FT
Fitch said yesterday the mergers of Sri Lankan finance and leasing company (FLC) subsidiaries with their parent banks would not have an immediate impact on the banks’ ratings.The agency’s assessment of its rated banks is based on their consolidated credit profiles and already factors in the risks of having subsidiary FLCs. However, the extent of the impact of absorbed FLCs on banks’ business models and their consolidated risk and financial metrics, particularly asset quality and profitability, will be important for the banks’ ratings in the medium term. The proposal was announced in the Govern...
Daily Financial Times
BSP to issue framework for digital banks
BSP to issue framework for digital banksLawrence Agcaoili(The Philippine Star) – November 23, 2020 – 12:00amMANILA, Philippines — The Bangko Sentral ng Pilipinas (BSP) is set to issue the regulatory framework for digital banks in its bid to promote market efficiencies and expand the access of Filipinos to a broad range of financial services.BSP Governor Benjamin Diokno said the proposed framework introducing digital banks as a distinct bank classification may be issued within the month after completing consultations with major stakeholders.“We will soon issue the measures after going through t...
Do China tech giants pose a risk for European banks?
PARIS – China’s Ant group may have been dealt a setback with the shelving of its IPO but European banks remain wary that Chinese tech giants may soon be their main competitors.The European finance sector has in recent years seen the emergence of a large number of startups — called fintech — which have sought to disrupt brick and mortar banks by offering digital services.While they have yet to really threaten established banks, the fintechs have forced them to dust off their operations and invest massively into providing similar digital services.“The real competitor of tomorrow will likely be t...
The Bangkok Post
The cloud awaits Israel’s banks. Are they ready to make the move?
Once perceived as conservative, the financial industry is undergoing significant and rapid transformation in recent years – a digital one.The disruption introduced by new fintech start-ups, combined with the entrance of Tech giants into the financial arena and a new COVID-19 reality, have led to a market-wide understanding that innovation is an essential tool that all financial institutions need to rapidly adopt.In Israel, too, the financial sector, and specifically banks, have aimed to transform, but it soon learned that it lags behind the global market leaders. To bridge this gap, Israeli ba...
Jpost.com - The Jerusalem Post online edition
Oyo seals banks, hotels, petrol stations over failure to pay land use charges
Oyo state government has sealed six hotels and four commercial banks for failing to pay land use charges.The State government equally shut seven companies and three petrol stations.Chairman of the state Board of Internal Revenue, John Adeleke claimed that in line with the Oyo State government’s Land Use Charge revenue demand bill, the State enforcement team sealed off these properties that have failed to pay the required taxes.Adeleke said the exercise was targeted at ensuring that businesses live alive to their responsibilities.He noted that this will enable the government to provide security...
Azerbaijani fund gives update on compensations paid to depositors of closed banks
By TrendThe Azerbaijan Deposit Insurance Fund (ADIF) has paid compensations worth over 580.2 million manat ($341.4 million) to depositors of the closed Ata Bank, Amrah Bank, AG Bank, and NBC Bank as of Nov.19, 2020, Trend reports with reference to ADIF.According to ADIF, 9,598 depositors of AtaBank received over 232.7 million manat ($136.9 million), 5,684 depositors of Amrahbank – nearly 138 million manat ($81.2 million), 4,450 depositors of AGBank – 90.2 million manat ($53 million), 4,087 depositors of Amrah Bank – 119.3 million manat ($70.2 million).Payments of compensation to the depositors...
Central Bank of Azerbaijan discloses funds bought by banks at foreign exchange auction
By TrendThe Central Bank of Azerbaijan (CBA) sold $62.8 million to banks at the foreign exchange auction held with the participation of the State Oil Fund of Azerbaijan (SOFAZ) on November 19, 2020, Trend reports citing the country’s CBA.The demand from banks at the auction increased by 0.8 percent compared to the previous indicator and was fully met.At the end of the auction, the weighted average rate of the manat to the dollar amounted to 1.7 AZN / USD.The first foreign exchange auction for a long time was held with the participation of SOFAZ on March 10, 2020, during which Azerbaijani banks...
Tier 1 banks’ loans up by 9% amid high exposure risk
The tier 1 banks in Nigeria, in no particular order – Access Bank, First Bank Nigeria, Guaranty Trust Bank (GTB), United Bank for Africa (UBA) and Zenith Bank Plc grew their combined loan portfolio for the period ended June 30, 2020, by 9 per cent from N11.54 trillion in FY 2019 to N12.6 trillion at half year 2020 despite the challenging business environment and economic uncertainty occasioned by the novel coronavirus which almost halted the world’s economic activities.The pandemic poses a serious threat to the world’s economy, the impact of this can be evidenced on the pressures that characte...
DTI, not commercial banks, should help MSMEs
The Nov. 16 editorial, “MSMEs need credit lifeline,” should be addressed to the Small Business Corp., the corporate arm of the Department of Trade and Industry (DTI), which was created and authorized by law to provide stimulus to micro, small, and medium enterprises (MSMEs) under COVID-19.Lifeline loans are really urgent, and time is of the essence for these small firms to take advantage of the Christmas season up ahead to generate revenues and be back on their feet. We cannot blame commercial banks’ cool attitude to lend when their top-of-mind concern is their stockholders equity, and thus th...
Philippines Daily Inquirer
Central banks to keep buying gold, drive the price
The world’s central banks have been buying gold for years, and that trend could drive the price up over $2,000 next year, according to some experts. The problem is the ever-growing pile of public debt, which could be exacerbated by inflation next year.Q3 2020 hedge fund letters, conferences and moreCentral banks deal with stimulus using goldNoble Gold founder and CEO Collin Plume told ValueWalk in an email that central banks will have to bear to brunt of "government generosity" by covering the costs of the many stimulus packages that have subsidized workers and businesses that couldn't functio...