Download e-odluka-o-jamstvenom-kapitalu-ki-unoffical.pdf

Contents : Decision on own funds of credit institutions (Official Gazette 1/2009 41/2009 75/2009 2/2010 and 118/2011 unofficial consolidated version) Decision on own funds of credit institutions I INTRODUCTION Subject matter Article 1 (1) This Decision prescribes: the characteristics and types of items included in the calculation of own funds and the method and extent of the inclusion of particular items in the calculation of individual components of own funds. (2) All credit institutions with registered offices in the Republic of Croatia and authorised by the Croatian National Bank shall comply with the provisions of this Decision with the exception of electronic money institutions. Definition of own funds Article 2 (1) A credit institution's own funds shall be the amount of own funds that the credit institution is required to maintain in order to ensure safe and sound operations and to be able to meet obligations to its creditors. (2) A credit institution's own funds shall be equal to the sum of original own funds and additional own funds reduced by deduction items. (3) By way of derogation from paragraph (2) of this Article within the meaning of the provisions of the Credit Institutions Act governing large exposures and holdings in nonfinancial institutions and tangible assets a credit institution's own funds shall be equal to the sum of original own funds and additional own funds reduced by deduction items but excluding from the calculation of additional own funds the item referred to in Article 15 item (4) of this Decision and excluding from deduction items the items referred to in Article 27 paragraph (1) items (6) and (7) of this Decision. (4) Deleted. Under Article 1 of the Decision on amendments to the Decision on own funds of credit institutions Official Gazette 118/2011 which entered into force on 1 January 2012 paragraph (4) has been deleted. 1 II ORIGINAL OWN FUNDS Original own funds Article 3 A credit institution may include individual items in the calculation of its original own funds provided that all of the following conditions are met: 1) during the credit institution's operation they are freely and fully available to the credit institution for unrestricted and immediate use to cover risks or losses 2) in the event of the opening of bankruptcy proceedings or the initiation of the winding-up of the credit institution they are fully available to the credit institution for unrestricted use to cover its losses after the claims of all other creditors have been settled and 3) their amount shall be net of any foreseeable tax charge. Composition of original own funds Article 4 Original own funds shall be equal to the sum of the items referred to in Article 5 of this Decision reduced by the sum of the items referred to in Article 6 of this Decision. Items included in original own funds Article 5 A credit institution shall include the following items in its original own funds: 1) paid-up capital from the issue of shares of the credit institution excluding cumulative preferential shares 2) reserves and retained earnings and 3) reserves for general banking risks. Items reducing original own funds Article 6 (1) A credit institution shall reduce its original own funds by the following items: 1) losses brought forward 2) losses for the current year 3) own shares 4) intangible assets 5) the outstanding amount of credits which the credit institution granted for the purchase of its shares excluding cumulative preferential shares in accordance with Article 12 of this Decision and 6) other items referred to in Article 13 of this Decision. 2 (2) A credit institution which granted a credit for the purchase of its shares excluding cumulative preferential shares and which has taken in pledge own shares as collateral for that credit shall calculate its original own funds as follows: 1) if the outstanding amount of the credit for the purchase of shares is less than or equal to the amount of own shares taken in pledge as collateral for that credit the credit institution shall reduce original own funds only by the amount of own shares taken in pledge as collateral for that credit or 2) if the outstanding amount of the credit for the purchase of shares is greater than the amount of own shares taken in pledge as collateral for that credit the credit institution shall reduce original own funds by the total amount of own shares taken in pledge as collateral for that credit and by the outstanding amount of the credit for the purchase of shares which is the difference between the total amount of that item and the amount of own shares taken in pledge as collateral for that credit. Under Article 2 of the Decision on amendments to the Decision on own funds of credit institutions Official Gazette 118/2011 which entered into force on 1 January 2012 paragraph (2) has been amended. Issued shares Article 7 A credit institution shall include the following in the amount of the paid

INFO HASH : 20f34108ad9c504b68da38a084f6889b61549feb

Download now

File Size: 114.4 kb