Central Bank of Myanmar FIL enAct on 7 July 2017

• The Central bank of Myanmar (CBM) enact a long awaiting, eighteen months, Financial Institution Law.

• It was published on Friday 7 July 2017 

• All banks shall not exceed 20% of their financial exposure of the core capital and required to submit the report within 90 days of the announcement of the FIL .

• All banks required to maintain their liquidity ratio on 20 percent for a new loan scheme.

• The aggregate of the bank's all large exposure must be limit and shall not exceed 8 times of its core capital.

• Every banks must be report all large exposure transaction to CBM quarterly and the format were provided as annex.

• State owned bank will be allow to ignore the large exposure regulation at the direction of the government policy.

• All banks have to comply with six months with this new FIL and they required to report monthly with CBM's provided format to CBM from early 2018

• In 2003, we have suffer the crisis and collapse of Asia Wealth Bank (AWB).

• The international expertise from the banking sector added that the new law's fell short of some international standards relating to insolvency and governance of non-bank financial institutions.

Source: 

http://www.cbm.gov.mm/sites/default/files/regulate_launder/large_exposuremyanmareng6-7-2017_-5.pdf

http://www.frontiermyanmar.net/en/central-bank-enacts-long-awaited-finance-regulations