The Bank of Russia has developed a draft law, which introduces a new type of credit institution — a regional Bank, according to a press release regulator.
This type of financial institution will have the right to work only on the particular subject of the Federation. Such credit institution will not be able to open branches outside, to carry out cross-border operations and transactions with non-residents. In addition, interbank transactions should be carried out through a Central counterparty.
At the same time for the regional banks plan to introduce regulatory Forbearance: for them the number of the required ratios will be reduced to five. In addition, reduced requirements for disclosure of information.
To apply for a regional licence will be able to banks with capital of not less than 300 million rubles and with assets of not more than seven billion rubles.
Implementation of a simplified regulation for the regional banks will allow you to reduce costs in compliance with international standards and will enhance the availability of banking services in Russia, according to the Central Bank.
In April, the international rating Agency Moody’s predicted that about 10 percent of existing Russian banks will lose their licenses and can be eliminated within the next year.
On 29 February the first Deputy Chairman of the Central Bank Alexey Simanovsky said that the main work on clearing the banking sector from unfair participants will be completed by 2017. In addition, he said that soon the banking license will be withdrawn tens and units.
