On Bank of Russia Ordinance No. 3230-U

On Bank of Russia Ordinance ‘On Amending Bank of Russia Regulation No. 290-P dated 4 July 2006 ‘On the Procedure for the Bank of Russia to Issue Permits to Credit Institutions Allowing for the Operation of Subsidiaries in a Foreign State’

On 9 April 2014, the Bank of Russia issued Ordinance No. 3230-U ‘On Amending Bank of Russia Regulation No. 290-P dated 4 July 2006 ‘On the Procedure for the Bank of Russia to Issue Permits to Credit Institutions Allowing for the Operation of Subsidiaries in a Foreign State’ (Ordinance No. 3230-U) registered with the Ministry of Justice of the Russian Federation on 15 May 2014, registration No. 32282.

Ordinance No. 3230-U is prepared resulting the creation of the Systematically Important Banks Supervision Department (the SIBSD) in the Bank of Russia, one of its functions is to consider documents provided by systematically important credit institutions in order to obtain Bank of Russia permit to establish subsidiaries on the territory of foreign states (the permit) and to express opinion on compliance of systematically important credit institutions with the requirements established by the legislation of the Russian Federation and regulations of the Bank of Russia and possibility of issue of the specified permit.

In order to establish a mechanism to implement this function Ordinance No. 3230-U introduces amendments to Bank of Russia Regulation No. 290-P dated 4 July 2006 ‘On the Procedure for the Bank of Russia to Issue Permits to Credit Institutions Allowing for the Operation of Subsidiaries in a Foreign State’ regulating the procedure of document submission and permit acquisition by systematically important credit institutions for which the consideration will be made and the opinion will be expressed by the SIBSD.

Furthermore, Ordinance No. 3230-U introduces standards for electronic interaction between credit institutions and structural divisions of the Bank of Russia providing for the possibility to submit documents for permit issuance electronically in compliance with the procedure established by the Bank of Russia. In this case the permit (motivated refusal to grant permit) is provided to the bank electronically and in paper form.

The reference to the Press Service is mandatory if you intend to use this material.

30.05.2014 00.00.00