Embed Size (px)
DESCRIPTION
The Financial Services Industry Monthly Bulletin is a banking and finance law publication by Reff & Associates (correspondent law firm of Deloitte Romania) and Deloitte Tax. Each month, our specialist team of finance lawyers and tax advisors will keep you updated with the latest legal, regulatory and tax developments in the financial services industry in Romania as well as with the recent changes and trends in the international financial regulations. The areas covered by our bulletin include: Banking and non-banking financial institutions Capital markets Insurance companies Private pension funds
Citation preview
January 2010
Financial Services Industry Monthly Bulletin 3
NBR’s Circular no. 1/2010 regarding the level of
the reference interest rate applicable for January
2010, namely 8% per year
The above mentioned Circular was published in
the Official Gazette no. 2/4.01.2010 and may be
accessed here.
NBR’s Board of Directors decided the reduction
of the monetary policy interest rate to 7.5 % per
year
NBR’s Board of Directors decided on the 5th of
January 2010 the following:
to reduce, starting with the 6th of January
2010, the monetary policy interest rate to
7.5 % per year from 8.0 % per year;
to ensure a firm management of liquidity in
the banking system in order to consolidate
the transmission of monetary policy signals;
to maintain the current level of the
minimum mandatory reserve rates on both
RON and foreign currency liabilities of credit
institutions.
The above mentioned decision may be accessed
here.
NBR amends the current regulatory framework
regarding classification of credit risk by credit
institutions
NBR issued Regulation no. 1/2010 (“Regulation
1/2010”) for the amendment of NBR’s
Regulation no. 18/2009 regarding the
administration of the activity of credit
institutions, the internal process of evaluation of
the adequacy of capital to risks and the
conditions of outsourcing of their activities.
Regulation 1/2010 amends the regulatory
framework applicable to classification of credit
risk by credit institutions following debt
restructuring operations as follows: the
prohibition of upgrading the credit risk
classification in case of restructuring/refinancing
of credits was repealed. However, following such
operations, credit institutions have the obligation
to evaluate the financial performance of the
debtor more strictly than prior to the
restructuring/refinancing, on the basis of
updated information.
Regulation 1/2010 was published in the Official
Gazette no. 39/18.01.2010 and may be accessed
here.
4
NBR amends the current regulatory framework
applicable to classification of credit risk by non
banking financial institutions
NBR issued Regulation no. 2/2010 (“Regulation
2/2010”) for the amendment of NBR’s
Regulation no. 20/2009 regarding non banking
financial institutions.
Regulation 2/2010 amends the regulatory
framework applicable to classification of credit
risk by non banking financial institutions
following debt restructuring operations. The
main amendments refer to the following
exceptions from the prohibition of framing the
restructured debts into a more favorable
category of credit risk classification as follows:
the first restructuring of credits representing
bad-debts can lead to framing these credits
in a more favorable credit risk category, but
with no more than 2 classification
categories for credits classified at the
moment of restructuring in the “loss”
category, and with no more than one
classification category for the other credits.
following the payment of due installments
of restructured credits, these can be framed
into a more favorable credit risk category.
Regulation 2/2010 was published in the Official
Gazette no. 39/18.01.2010 and may be accessed
here.
Financial Services Industry Monthly Bulletin 5
NSC amends the regulatory framework
applicable to NSC’s income
NSC adopted Regulation no. 1/2010 for the
amendment of NSC’s Regulation no. 7/2006
regarding NSC’s income. Regulation no. 1/2010
was approved through NSC’s Order no. 1 of
21.01.2010, published in the Official Gazette no.
54/25.01.2010 and may be accessed here.
NSC amends the regulatory framework
regarding the reporting of the evaluation of the
application of the mechanism without pre-
validation for financial instruments and global
accounts system
NSC enacted Decision no. 4 of 28.01.2010 for
the amendment of NSC’s Decision no. 1/2008 in
the sense that the Central Depository SA and
Bucharest Stock Exchange SA must notify NSC of
the final evaluation of the application of the
mechanism without pre-validation of financial
instruments and global accounts system until the
first business day of April 2010. The said
Decision may be accessed here.
Financial Services Industry Monthly Bulletin 7
Financial Services Industry Monthly Bulletin 7
European Central Bank amends the regulatory
framework applicable to monetary, financial
institutions and markets statistics
European Central Bank issued Guideline
ECB/2009/234 of December 4 2009 amending
Guideline ECB/2007/9 on monetary, financial
institutions and markets statistics. The said
guideline is applicable to the central banks of the
Euro-system as of 1 July 2010.
The above mentioned Guideline was published
in the Official Journal of the European Union no.
L 16/21.01.2010 and may be accessed here.
Financial Services Industry Monthly Bulletin 7
Financial Services Industry Monthly Bulletin 9
Proposal for Regulation regarding the
organization and functioning within NBR of the
Payment Incidents Register.
The above mentioned proposal may be accessed
here.
Proposal for Order for the amendment of NBR’s
Order no. 12/2007 regarding the reporting of
the minimum capital requirements for credit
institutions
The above mentioned proposal may be accessed
here.
NSC issued its investigation plan for 2010 which
may be accessed here.
Proposal for Instruction for the amendment of
NSC’s Instruction no. 2/2007 regarding the
drafting and submission of the annual financial
statements by authorized entities regulated and
supervised by NSC
The above mentioned proposal may be accessed
here.
Proposal of Norm for the amendment of Norm
no. 2/2006 regarding the authorization of the
administrators of voluntary pension funds issued
by the PPSSC
The deadline for submitting any comments to
the said proposal is 10th of February 2010. The
above mentioned proposal may be accessed
here.
Proposal of Norm for the amendment of PPSSC’s
Norm no. 2/2007 regarding the authorization of
administrators within the privately managed
pension system
The deadline for submitting any comments on
the said proposal is 10th of February 2010. The
above mentioned proposal may be accessed
here.
Proposal of Norm for the amendment of PPSSC’s
Norm no. 7/2008 regarding the fees for
licensing, approval and functioning within the
privately managed pension system
The above mentioned proposal may be accessed
here.
Proposal for Norm for the amendment of
PPSSC’s Norm no. 8/2008 regarding the fees for
licensing, approval and functioning within the
voluntary pension system
The above mentioned proposal may be accessed
here.
Proposal for Norm regarding the control
procedure of the entities performing activities
within the private pension system
The above mentioned proposal may be accessed
here.
Financial Services Industry Monthly Bulletin 7
Financial Services Industry Monthly Bulletin 11
European Central Bank endorsed on 8 January
2010 the Proposals for Regulations of the
European Parliament and of the Council
establishing a European Banking Authority, a
European Insurance and Occupational Pensions
Authority and a European Securities and Markets
Authority. The said endorsement was published
in the Official Journal of the European Union no.
C 13/20.01.2010 and may be accessed here.
The Committee of European Banking Supervisors
published on January 6 2010 the revised
framework for common reporting of solvency
ratios for credit institutions and investment firms
(COREP), incorporating the changes brought by
directives 2009/27/EC, 2009/83/EC si
2009/111/EC. For further details please access
here.
The Committee of European Banking Supervisors
published on 28 January 2010 a revised version
of its guidelines for implementing a common
European framework on supervisory disclosure.
For further details please access here.
The Committee of European Securities
Regulators opens for public consultation the
guidance regarding the reporting of transactions
on OTC derivative instruments. For further
details please access here.
12
Date
17 February 2010
Time
9.00 – 13.30
Venue
Howard Johnson Hotel
Platinum Grand Ballroom
The workshop organised by Deloitte Romania
and Reff & Associates, the correspondent law
firm of Deloitte Romania, will give you an
integrated perspective over the dynamics of
dealing with both financial and legal facets of
the loan restructuring process.
In the current climate, distressed borrowers are
not uncommon, to say the least. From breach of
financial covenants to non-payment defaults and
insolvency threats, borrowers pose new types of
challenges and require new types of actions.
Restructuring existing loan agreements, requiring
additional collateral, tightening contractual
terms, stricter monitoring of the covenants,
grace periods, all useful actions that, however, in
many cases, might fail unless supported by
thorough business reviews and restructuring
implementation.
Speakers and Topics
Antonis Ioannides, Partner Financial Advisory
Introduction
Alexander Flatz, Director Reorganization
Services, Central Europe
Patterns of corporate crisis
Stages of a crisis – theory vs. practice.
Behavioral patterns: Owners; Management;
Banks; Advisors
Challenges for the stakeholders
Valuable characteristics of advisors and
bankers in crises
Andrei Burz-Pinzaru, Partner Legal Services
Having a borrower in distress and how to deal
with it. Know your legal rights, options and
deadlines
Things you should know about your
borrowers prior to any insolvency related
events
Preventing insolvency: voluntary
reorganisation versus insolvency
reorganisation, inter-creditor agreements,
the new moratorium law (“concordatul
preventiv”)
Being creditor to an insolvent borrower: a
focus on observation periods and
reorganization plans (control over the
borrower, permitted payments, new loans,
preservation of rights)
Insolvency “hidden” threats
Andrew Grimstone, Partner Reorganization
Services, United Kingdom
Restructuring best practices
Value of robust information
Debtors vs. creditors dynamics (do’s and
don’ts)
Managing the lenders (syndicated/multiple
bilateral loans)
UK -EU case studies
Top tips for achieving a consensual
restructuring
Participation to this event is by invitation only.
You can register via e-mail at:
[email protected]. Please take into
consideration that due to the limited number of
seats, the first-come-first-served policy applies.
For the event agenda and additional information
on the speakers, please access the following link.
Financial Services Industry Monthly Bulletin 11
Reff & Associates is the correspondent law firm of Deloitte Romania, fully
integrated with the Deloitte multi-disciplinary advisory practice and affiliated to a
network of law firms and legal departments working with Deloitte all over the
world. Deloitte’s correspondent legal practice provides assistance to clients in
Romania on various matters pertaining to mergers and acquisitions, corporate
and commercial law, finance, banking and capital markets, real estate, project
finance, employment, competition, fiscal and commercial litigation, and
intellectual property.
In the financial services sector, Reff & Associates provides the full range of services
to banks and financial institutions, including:
- Finance deals: transaction support in bilateral and syndicated loans, loan
workouts, securitisation, loan transfers and assists in drafting and
negotiating the transaction documentation (loan agreements, security and
other ancillary documentation).
- M&A transactions in the financial services sector: advice on the structure
of the transaction, the pre-contractual documentation, due diligence,
drafting/negotiating the purchase agreements and assisting the
implementation of the transaction.
- Regulatory assistance: ongoing assistance with respect to the specific
legal and regulatory requirements applicable to banks / non banking
financial institutions operating in Romania, development of new
financial products, representation in front of the regulators (National
Bank of Romania, Insurance Supervisory Commission, Securities
Commission etc.).
Andrei Burz Pinzaru
Partner
+ 40 21 207 52 05
Simina Mut
Manager
+ 40 21 207 52 69
Leontin Trifa
Manager
+ 40 21 207 53 13
George Mucibabici Chairman
tel: + 40 21 207 52 55
e-mail: [email protected]
Audit Santiago Pardo
Partner
tel: + 40 21 207 54 92
e-mail: [email protected]
Enterprise Risk Services Gary Bauer
Director
tel: + 40 21 207 52 19
e-mail: [email protected]
Financial Advisory Antonis Ioannides Partner
tel: + 40 21 207 56 26
e-mail: [email protected]
Tax Rodica Segarceanu
Partner
tel: + 40 21 207 52 31
e-mail: [email protected]
Legal Andrei Burz-Pinzaru
Partner, Reff&Associates
correspondent law firm of Deloitte Romania
tel: + 40 21 207 52 05
e-mail: [email protected]
Consulting Razvan Horobeanu Manager
tel: + 40 21 207 53 57
e-mail: [email protected]
Actuarial & Insurance Solutions Slawomir Latusek
Consultant
tel: + 48 (22) 511 04 54
e-mail: [email protected]
Deloitte refers to one or more of Deloitte Touche Tohmatsu, a Swiss Verein, and its network of member firms,
each of which is a legally separate and independent entity. Please see www.deloitte.com/ro/about for a
detailed description of the legal structure of Deloitte Touche Tohmatsu and its member firms.
Deloitte provides audit, tax, consulting, and financial advisory services to public and private clients spanning
multiple industries. With a globally connected network of member firms in more than 140 countries, Deloitte
brings world-class capabilities and deep local expertise to help clients succeed wherever they operate.
Deloitte's more than 169 000 professionals are committed to becoming the standard of excellence.
Deloitte's professionals are unified by a collaborative culture that fosters integrity, outstanding value to
markets and clients, commitment to each other, and strength from cultural diversity. They enjoy an
environment of continuous learning, challenging experiences, and enriching career opportunities. Deloitte's
professionals are dedicated to strengthening corporate responsibility, building public trust, and making a
positive impact in their communities.
This publication contains general information only, and none of Deloitte Touche Tohmatsu, its member firms,
or its and their affiliates are, by means of this publication, rendering accounting, business, financial,
investment, legal, tax, or other professional advice or services. This publication is not a substitute for such
professional advice or services, nor should it be used as a basis for any decision or action that may affect your
finances or your business. Before making any decision or taking any action that may affect your finances or
your business, you should consult a qualified professional adviser.
None of Deloitte Touche Tohmatsu, its member firms, or its and their respective affiliates shall be responsible
for any loss whatsoever sustained by any person who relies on this publication.
© 2010 Deloitte Romania
