- The new NBE directive cited as " Foreign Exchange Exposure Limits of Banks Directive No. SBB/96/2025" has entered into force starting today November, 10th , 2025.
- A key change links a bank’s maximum foreign exchange exposure to its core capital, enhancing financial stability by aligning risk capacity with a bank’s actual financial strength.
- This reform transitions from a static paid-up capital requirement to a dynamic system where capital must align with the risks a bank undertakes.
- For the first time, banks must calculate separate capital charges for market risk and operational risk, moving beyond the traditional focus on credit risk.
News - Financial
NBE has recently implemented two new transformative directives
