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Article (8): Breaches of the Minimum Capital Requirement

C 23/2022 Effective from 15/5/2022

8.1 A Restricted Licence Bank, which is in breach of or is likely to be in breach of the minimum capital requirements, must immediately inform the Central Bank.

8.2 A Restricted Licence Bank, which is in breach of or is likely to be in breach of the minimum capital requirements must submit to the Central Bank for approval, a remediation plan for restoring capital to the minimum required level.

8.3 A Restricted Licence Bank must obtain approval from the Central Bank for any proposed distribution of profits, including dividend distribution, which will result in a breach of the capital requirement as specified in Article (5) of this Regulation. The Restricted Licence Bank must obtain such approval before announcing the proposed distribution publicly in a press announcement, or by other means of communication and prior to submitting a proposal for a distribution for shareholder approval.