On Apr. 24, CHL CMF agreed to change Information Systems Manual.
CHL CMF issued Resolution 3.688, which approved the update of General Background Section of the Information Systems Manual (MSI), re information requirements.
Approved Circular 2.34; provides standard that specifies the information reporting requirements on subsidiaries, branches abroad and banking support companies.
Background
In accordance with Decree/Law 3.538of 1980, CHL CMF may dictate regulations to apply and comply with laws and regulations, and request anything for inspection.
The Information System Manual for banks established the set of consolidated and updated instructions for the preparation and delivery of periodic information by banks.
Circular 3 of Dec. 27, 1989, established rules to comply with by entities established as Bank Business Support Companies, in accordance with General Banking Law.
Circular 8 of Dec. 20, 1989, set out rules for subsidiaries and real estate companies.
Also, Circular 23 of Jul. 23, 2013, established general provisions that must be complied with by credit card issuers and operators constituted as Business Support Companies.
Chapter 11-6 of the Updated Compilation of Standards for banks established that supervised entities must comply with the information requirements determined.
Chapter 11-7 of the Updated Compilation of Standards for banks established that they must periodically send information about credits and other operations or balances.
There are no provisions or references in the Manual regarding institutions preparing files about the subsidiaries, branches abroad and business support companies.
CHL CMF found it necessary to advance in standardizing the information requirements requested from bank subsidiaries, branches abroad and business support companies.
According to D.L. 3.538 of 1980, the regulations must contain foundations that make its issuance necessary, including an adequate definition of the problem addressed.
Foundations also must include justification of regulatory intervention, evaluation of the impact, as well as studies or reports on which it is based, if appropriate or possible.
The regulations were subject to public consultation from Aug. 29 to Oct. 3, 2023.
Additionally, adjusting table 58 of the manual, and eliminating the Information System Manual for leasing bank subsidiaries, as it is not relevant to current requirements.
Highlights
The implementation of these modifications to the General Background section of the Information Systems Manual intends to standardize the information requirements.
Banks must send requirements regarding subsidiaries, whether in Chile or abroad, branches abroad and companies supporting the business of banking institutions.
Additionally, adjusted the tables of the manual and eliminated the Information System Manual for leasing bank subsidiaries, as it is not relevant to the current information.
Effectiveness
The first submission of files will be from the first quarter of 2025 or Mar. 2025.
