Statistics Act, 1999
R 385
Mutual Banks Act, 1993 (Act No. 124 of 1993)Chapter V : Prudential requirements50. Minimum liquid assets |
| (1) | A mutual bank shall hold in the Republic liquid assets to a value which does not amount to less than the sum of amounts, calculated as prescribed percentages but which in no instance may exceed 20 per cent, of such different categories of its liabilities as may be specified by regulation with reference to the time when such liabilities fall due or with reference to any other feature pertaining to such liabilities. |
| (2) | The amounts of the liquid assets and of the liabilities referred to in subsection (1) shall be calculated in such manner and shall be determined at such times as may be prescribed. |
| (3) | A mutual bank shall not pledge or otherwise encumber any portion of the liquid assets held by it in compliance with the provisions of subsection (1): Provided that the Registrar may, if he deems it necessary on account of any special circumstances in which a mutual bank may find itself, exempt such mutual bank from the prohibition contained in this subsection, on such conditions and to such an extent and for such a period as he may determine. |
| (4) | For the purposes of this section securities shall be valued at their prices as quoted in a list of quotations of prices— |
| (a) | of securities, as defined in section 1 of the Stock Exchanges Control Act 1985 (Act No. 1 of 1985), issued for publication on the authority of a licensed stock exchange, as so defined; or |
| (b) | of financial instruments, as defined in section 1 of the Financial Markets Control Act, 1989 (Act No. 55 of 1989), issued for publication on the authority of the executive committee of a financial exchange, as so defined, as the case may be, and which list is in force at the time when the securities are so valued. |
