Borrowers told to see their banks

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Central Bank of Solomon Islands. Photo by CBSI
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BORROWERS are asked to see their banks about any issues over their loan repayment in light of the COVID-19 community outbreak.

Central Bank of Solomon Islands (CBSI) issued the advisory, Monday.

This came after CBSI waived three regulatory policies for financial institutions.

These are:

  • CBSI has waived the application of paragraphs 33, 34 and 40 of prudential guideline 2 (PG2) and application of paragraph 7 of PG8.  The former relates to classification of loans considered under COVID-19 relief package and loan loss provisioning.  
  • The waiver to paragraph 7 of PG8 allows licensed financial institutions to change or introduce new interests, fees & charges without the 30 calendar days required before implementing such changes.
  • This waiver is effective for six months from the date, Thursday 3rd February 2022.

In a statement, CBSI said:

“This action is necessary in light of the current COVID-19 community transmission which is adversely disrupting business operations of households and/or individuals resulting in weak cash flows to repay loan commitments on time.

“Meanwhile, CBSI encourages bank customers to talk with their respective bank or credit institution on appropriate COVID-19 relief packages for their consideration during this difficult time of community transmission of the coronavirus.”


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