• Implications of International Accounting Standard (IAS) no. 39 on the Provisions Assessed through Sovereign Credit Provisioning Matrix

    • CM-3.4.4

      The banks must continue to apply the Sovereign Credit Provisioning Matrix (see Appendix CM-1) as a benchmark for estimating future recoverable cash receipts. However, if a lower provisioning amount is determined, i.e. lower than the amount identified through the matrix, and the bank intends to book the lower amount, then a meeting must be arranged with the CBB to discuss the issues before booking such provisions.

      Amended: July 2011
      Amended: January 2011
      October 2007