CA-1.2 CA-1.2 Reporting
CA-1.2.1
Formal reporting to the CBB of capital adequacy must be made in accordance with the requirements set out under Section BR-3.1.
January 2015CA-1.2.2
All
Bahraini conventional bank licensees must provide the CBB, with immediate written notification (i.e. by no later than the following business day) of any actual breach of the minimum ratios outlined in Subparagraph CA-B.2.1 (a). Where such notification is given, theconventional bank licensee must also:(a) Provide the CBB no later than one calendar week after the notification, with a written action plan setting out how theconventional bank licensee proposes to restore the relevant ratios to the required minimum level(s), further, describing how theconventional bank licensee will ensure that a breach of such ratios will not occur again in the future;(b) Provide the CBB with weekly reports basis thereafter on theconventional bank licensee's relevant ratios until such ratios have reached the required minimum, level(s) described in Subparagraph CA-B.2.1(a); and(c) Take additional note of the Capital Conservation plan requirements in Chapter CA-2A where additional action is required when the Capital Conservation Buffer has been breached.January 2015CA-1.2.3
The
conventional bank licensee is required to submit form PIR to the CBB on a weekly basis, until the concerned CARs identified in Paragraph CA-1.2.2 exceed the required minimum ratios.January 2015CA-1.2.4
The CBB will notify
conventional bank licensees in writing of any action required of them with regard to the corrective and preventive action (as appropriate) proposed by theconventional bank licensee pursuant to the above, as well as of any other requirement of the CBB in any particular case.January 2015CA-1.2.5
Conventional bank licensees must note that the CBB considers the breach of regulatory CARs to be a very serious matter. Consequently, the CBB may (at its discretion) subject aconventional bank licensee which breaches its CAR(s) to a formal licensing reappraisal. Such reappraisal may be effected either through the CBB's own inspection function or through the use ofappointed experts , as appropriate. Following such appraisal, the CBB will notify theconventional bank licensee concerned in writing of its conclusions with regard to the continued licensing of theconventional bank licensee .January 2015CA-1.2.6
The CBB recommends that the
conventional bank licensee's compliance officer support and cooperate with the CBB in the monitoring and reporting of the CARs and other regulatory reporting matters. Compliance officers should ensure that theirconventional bank licensees have adequate internal systems and controls to comply with these rules.January 2015
