Document from CIS Legislation database © 2003-2019 SojuzPravoInform LLC

RESOLUTION OF BOARD OF NATIONAL BANK OF THE KYRGYZ REPUBLIC

of March 13, 2019 No. 2019-P-07/10-1-(DKP)

About the Provision "About Required Reserves"

According to Articles 20, "About National Bank of the Kyrgyz Republic, banks and banking activity" the Board of National Bank of the Kyrgyz Republic decides 27 and 68 Laws of the Kyrgyz Republic:

1. Approve the Provision "About Required Reserves" it (is applied).

2. Recognize invalid the following resolutions of Board of National Bank of the Kyrgyz Republic:

"About introduction of amendments to the resolution of Board of National Bank of the Kyrgyz Republic of March 19, 2010 No. 8/2 "About approval of the Provision "About Required Reserves" of May 19, 2010 No. 34/1;

"About modification and amendments in the resolution of Board of National Bank of the Kyrgyz Republic of March 19, 2010 No. 8/2 "About approval of the Provision "About Required Reserves" of February 17, 2014 No. 3/2;

"About introduction of amendments to the resolution of Board of National Bank of the Kyrgyz Republic of March 19, 2010 No. 8/2 "About approval of the Provision "About Required Reserves" of April 23, 2014 No. 16/5;

"About some resolutions of Board of National Bank of the Kyrgyz Republic" of November 14, 2014 No. 50/2;

"About modification and amendments in the resolution of Board of National Bank of the Kyrgyz Republic of March 19, 2010 No. 8/2 "About approval of the Provision "About Required Reserves" of January 20, 2016 No. 4/1;

"About introduction of amendments to the resolution of Board of National Bank of the Kyrgyz Republic of March 19, 2010 No. 8/2 "About approval of the Provision "About Required Reserves" of June 15, 2017 No. 2017-P-07/25-14-(NPA);

- Item 42 appendices to the resolution of Board of National Bank of the Kyrgyz Republic "About modification and amendments in some regulatory legal acts of National Bank of the Kyrgyz Republic" of November 16, 2012 No. 43/1.

3. To legal management:

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

- after official publication to send this resolution to the Ministry of Justice of the Kyrgyz Republic for entering into the State register of regulatory legal acts of the Kyrgyz Republic.

4. To economic management together with Management of financial statistics and overview to bring this resolution to the attention of commercial banks.

5. This resolution becomes effective since April 1, 2019.

6. To impose control of execution of this resolution on the board member of the National Bank of the Kyrgyz Republic supervising Economic management.

Chairman of the board of National Bank of the Kyrgyz Republic

T. Abdygulov

Appendix

to the Resolution of Board of National Bank of the Kyrgyz Republic of March 13, 2019 No. 2019-P-07/10-1-(DKP)

Regulations on required reserves

Chapter 1. General provisions

1. This Provision establishes requirements to banks on deposition in National Bank of the Kyrgyz Republic (further - the National Bank) required reserves, determines the size of required reserves, procedure of payments and accomplishment by commercial banks, National bank of development of the Kyrgyz Republic (further - bank) mandatory reserve requirements (further - ORT), and also procedure of payments and recovery of penalty for non-compliance with ORT.

Requirements of this provision extend to the commercial banks performing transactions according to the Islamic principles of banking and financing including within "Islamic window", taking into account specifics of their activities and terminology applied by them in case of banking operations.

2. Required reserves are one of instruments of monetary policy and are used by National Bank for the purpose of regulation of general level of liquidity in bank system, short-term interest rates and amount of cash aggregates.

3. Depending on the monetary policy purposes separate board decisions of National Bank establish the following standard rates of mandatory reserve requirements:

- the sizes of required reserves (for various categories of the obligations which are part of calculation base various percentage values can be established);

- the size of the minimum threshold level from amount of required reserves;

- ratio and the sizes of the assets included in reserve assets for observance of ORT;

- rate of compensation for observance of required reserves;

- the sizes of penalties for non-compliance with ORT and the minimum threshold level from amount of required reserves.

4. The base period of observance of mandatory reserve requirements constitutes four calendar weeks (28 days).

5. The list and structure of the obligations entering calculation base affirm Board of National Bank.

6. Banks shall fulfill mandatory reserve requirements during action of the license for the right of carrying out banking activities.

Chapter 2. Determinations and terms

7. For the purposes of this provision the following terms are applied:

Base period - the period during which the bank shall fulfill mandatory reserve requirements according to this Provision.

Settlement period - the period for which the calculation base for scoping of required reserves is calculated.

Required reserves are cash amount which the bank shall deposit during the base period in reserve assets on the conditions established by National Bank.

Mandatory reserve requirements are requirements to bank on deposition of required reserves in reserve assets according to the established requirements.

The minimum threshold level from amount of required reserves - the amount of money which the bank shall support in reserve assets on daily basis for accomplishment of mandatory reserve requirements.

Full text available with active License only!

Disclaimer! This text was translated by AI translator and is not a valid juridical document. No warranty. No claim. More info

Effectively work with search system

Database include more 38000 documents. You can find needed documents using search system. For effective work you can mix any on documents parameters: country, documents type, date range, teams or tags.

Get help

If you cannot find the required document, or you do not know where to begin, go to Help section.

In this section, we’ve tried to describe in detail the features and capabilities of the system, as well as the most effective techniques for working with the database.

You also may open the section Frequently asked questions. This section provides answers to questions set by users.

Search engine created by SojuzPravoInform LLC. UI/UX design by Intelliants.