Hong Kong banks have maintained relatively high capital adequacy ratios, but the prospect of a steeper mandatory requirement for a countercyclical buffer is causing concern within the industry. Photo: David Wong

HKMA urges Hong Kong banks to keep higher-than-Basel capital reserves

HKMA is leaning towards requiring lenders to hold up to 3.5pc of capital as a countercyclical reserve, exceeding Basel standards, sources say

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Hong Kong banks have maintained relatively high capital adequacy ratios, but the prospect of a steeper mandatory requirement for a countercyclical buffer is causing concern within the industry. Photo: David Wong
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