ADDITIONAL SPECIAL REGULATORY RELIEFS TO BANKS IN AREAS SEVERELY AFFECTED BY TROPICAL DEPRESSION “YOLANDA”
(Footnote to Sec. 105 on Establishment/Relocation/Voluntary Closure/Sale of Branches/Branch-lite Units and Other Offices, Opening of branches/branch-lite units, Sec. 109 on Appreciation or increase in book value, 382, 921, and 1101)
a. Palawan in Region IV-B;
b. Iloilo, Aklan and Capiz in Region VI;
c. Cebu in Region VII; and
d. Samar provinces and Leyte in Region VIII.
a. Staggered Booking of Losses Arising from Loan Write-Offs
b. Borrowers who benefited from the debt relief may be allowed to avail of new loans subject to appropriate creditunderwriting standards. Staggered Booking of Losses Arising from Write-Down of Bank Premises, Furniture, Fixture and Equipment and ROPA Impairment losses arising from the need to write down Bank Premises, Furniture, Fixture and Equipment, and Real and Other Properties Acquired (ROPA) as of 07 November 2013 that are rendered economically useless by Typhoon Yolanda, may be recognized on a staggered period of five (5) years. The write-off shall be properly disclosed in the relevant reports in accordance with Bangko Sentral existing rules and regulations.
c. Condonation of Annual Supervisory Fees of TB, RB and Coop Banks. Banks with HO in the affected areas may request for condonation of the Annual Supervisory Fee for the assessable year 2014. The Bangko Sentral, after due consideration of the severity of losses incurred by the bank concerned, may condone the supervisory fees for up to 5 years, subject to application.
d. Flexibility on Branch Relocation and Temporary Offices
1. Temporary Relocation of Affected Banking Offices
2. Establishment of Temporary Banking Offices in Affected Areas
e. Relaxation of Reporting Requirements. TBs, RBs and Coop Banks with HO in the affected areas shall be allowed to defer their submission of periodic reports for 6 months.
f. Relaxation on the Presentation of Required Clients’ Documents
(Circular No. 827 dated 28 February 2014)
- Universal, Commercial, Thrift, Rural and Cooperative Banks
- E.g., from Medellin, Cebu (4th class municipality with capital requirement of P10 million) to Bogo City (all other cities except Cebu and Davao cities with capital requirement of P25 million)
- To cover situations such as relocation to an adjoining municipality that is part of another province (e.g., from Tacloban, Leyte, to Basey, Samar, which are adjacent municipalities of different provinces).
- Required under Sec. 105 (Opening of branches/branch-lite units).