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- W327759530 abstract "The relationship between the risk based capital (RBC) standards and bank risk behaviour is important as it directly addresses the issue of bank solvency which is of primary concern to regulators. This paper examines the impact of the recently imple mented risk-based capital standards on the indigenous banks in the ECCB area during the period December 1995 and December 1996. The evidence suggests that the implemen tation of RBC standards which established a minimum capital requirement that was lower than the previous capital requirement, had no impact on bank capital and risk levels. Banks generally had capital levels in excess of the regulatory minimum reflecting for the most part the attitude of owners in avoiding bankruptcy cost Additionally, the prudential requirement that banks set aside specific provisions against loan losses had an adverse impact on capital levels and earnings but had no impact on loan delinquency levels. As such it is uncertain, given the characteristics of banking in the sub-region and other regulatory changes whether the new standards appropriately provide adequate safeguards against insolvency and default risk. ^INFLUENCE DES IMPERATIFS DU CAPITAL A RISQUES SUR LES BANQUES LOCALES DE LA ZONE COUVERTE PAR LA BANQUE CENTRALE DES ILES CARAIBES DE L'EST Resume Le rapport entre les procedures du capital a risques et le comportement de banque a risques est important dans la mesure ou iI pose le probleme de la solvability des banques qui constitue /'inquietude primordiale des regulateurs. Ce document traite de /'influence des procedures du capita/ a risques, recemment mis en oeuvre, sur les banques locales de la zone couverte par la Banque Centrale des lies Caraibes de I'Est pour la periode de Decembre 1995 a Decembre 1996. II s'est avere que la mise en oeuvre des procedures du Capital a Risques qui a requis un capital minimum plus bas que le precedent, n'a eu aucun impact sur le capital bancaire et sur les niveaux de risques. En general les banques ont des niveaux de capital excedentaires par rapport au minimum reglementaire, ce qui dans la plupart des cas reflete le comportement des proprietaires afin d'eviter le cout de banqueroute. En outre, les reserves faites par les banques constituant une provision contre les pertes de prets a eu un effet contraire sur les niveaux des capitaux et gains mais n'a aucun influence sur les niveaux de malversations des prets. Ceci demeure incertain, vus les caracteristiques des operations bancaires dans la sous region et d'autres changements reglementaires d'affirmer que les nouvelles procedures produisent des garde fous suffisants contre I'insolvabilite et le risque a defaut." @default.
- W327759530 created "2016-06-24" @default.
- W327759530 creator A5020013301 @default.
- W327759530 date "2016-01-01" @default.
- W327759530 modified "2023-09-26" @default.
- W327759530 title "THE IMPACT OF THE RISK-BASED CAPITAL REQUIREMENTS ON THE INDIGENOUS BANKS OF THE EASTERN CARIBBEAN CENTRAL BANK AREA / L'INFLUENCE DES IMPERATIFS DU CAPITAL A RISQUES SUR LES BANQUES LOCALES DE LA ZONE COUVERTE PAR LA BANQUE CENTRALE DES ILES CARAIBES DE L'EST" @default.
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- W327759530 hasPublicationYear "2016" @default.
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