The strong capitalisation of most retail and wholesale banks
provides significant loss-absorption capacity, and most of the retail banks have sound liquidity profiles.
It has also proposed limiting the total amount of outstanding loans of foreign retail banks to 20 times their net worth, with wholesale banks
limited to 30 times.
More positively, Moody's says that the ample capital levels of the rated Bahraini retail and wholesale banks
means that they are able to absorb credit losses and that it is unlikely that additional capital will be required.
However, Moody's notes that declines in asset prices have exerted pressure on the capitalisation metrics of some wholesale banks
that have significant proprietary investment portfolios,' added Chrysaphinis.
Singapore has allowed three Japanese banks to expand their operations in the city-state by upgrading them from offshore to wholesale banks
as part of its move to liberalize the banking industry, the Monetary Authority of Singapore (MAS) said Tuesday.
As noted below, BT Corp's other insured subsidiary banks also have been designated as wholesale banks
by their appropriate federal supervisors.
The success of these units during the first half of 2008 is evidence that "transaction banking" is a critical engine of predictable revenue growth for leading wholesale banks
Following the de-risking of the balance sheets of the two major Bahraini wholesale banks
, Arab Banking Corporation ('BBB+'/stable) and Gulf International Bank ('A'/stable) last year, Fitch also expects these to be modestly profitable this year.
In order to help wholesale banks
realize greater revenue, productivity and compliance, Pegasystems Inc.
Circumstances that could lead to a systemic crisis include: the failure of one of the larger wholesale banks
to which several Bahraini banks could be exposed; or (ii) the failure of one or more wholesale banks
because of risky real estate exposures that could lead to a crisis in confidence, which would in turn also affect retail banks with less risky exposures to the sector," explained Chrysaphinis.
Bahrain's wholesale banking industry has grown significantly over the past two years, with the consolidated assets of wholesale banks
amounting to $177.
Smart Investigate now automates investigation and exception processing for wholesale banks
with even greater intelligence and flexibility, enabling banks to cut costs by processing more transactions automatically and reducing manual costs and errors.