All Banks

Dear Sirs/Madam,

MINIMUM CAPITAL REQUIREMENT (MCR)

The banks are submitting their half-yearly MCR returns in terms of our BSD Circular # 05 dated March 25, 2003.

It has been decided that the banks, instead of submitting half yearly MCR statements, hence forth, will submit these statements on quarterly basis. These four quarterly MCR statements may be un-audited and will have to be submitted on the prescribed format within one month of the close of respective quarter throughout the year. In addition to it, the banks will also submit their Annual MCR statement, duly certified by their external auditors, not later than three months of the close of the year.

However, the 1st MCR statement for the quarter ending September 30, 2003 should be received at this Department not later than November 30, 2003.

All other instructions on the subject shall, however, remain unchanged.

Please acknowledge receipt.