BANGKOK : Thailand's central bank said on Tuesday it had revised some capital rules to help banks to manage risks and capital adequacy and to promote sustainable finance.
The adjusted rules, effective in January 2022, were not a response to the pandemic, however, but were planned beforehand in line with international standards, Assistant Governor Jaturong Jantarangs told a news conference.
Under the Pillar 2 rules, banks must have sound risk management framework and processes to assess their capital adequacy, relative to all risks and conduct proper stress testing.
Thai banks are still strong with higher capital buffers than the minimum requirements to cover risks and handle volatility in the economy, Jaturongs said.
The new rules https://bit.ly/2UtceHQ added to areas of information technology risk, legal and compliance risk as well as environment, social and governance, he added.
(Reporting by Kitiphong Thaichareon and Satawasin Staporncharnchai; Writing by Orathai Sriring; Editing by Martin Petty)