Costa Rica Extends Measures for Banking Liquidity

In response to the local and global economic crisis, the liquidity measures taken in October 2008 were extended by nine months.

Friday, March 13, 2009

In October 2008, the National Council of Financial System Supervision (CONASSIF) decided to relax some of the risk indicators required of financial institutions to strengthen their liquidity.

This relaxation initially ran from October through March, but the Council decided to extend it until December.

In an article in Nacion.com, Patricia Leitón, explained some of the measures: "One of the changes is that the entities are no longer required to have profitability equal to the accumulated inflation over the past 12 months (currently at 12.75%), instead the profitability required will be 10.65% until December."

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