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January 2004 Issue

Bulletin

NEW CAPITAL ADEQUACY REQUIREMENTS FOR FINANCIAL HOLDING COMPANIES AND BANKS

I. Financial holding companiesOn 25 November 2003, the Ministry of Finance (MOF) announced amendments to the Regula-tions Governing the Consolidated Capital Ade-quacy of Financial Holding Companies. The key points are as follows:The old regulations provided that the qualified capital of a financial holding company should be calculated in the same way as that of banks. However, in view of the fact that investments by financia ... More

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