A proposal presented by the National Banking and Insurance Commission, to implement an early warning system, has been approved by executive decree.
The system will allow monitoring of the overall performance of banks and financial institutions with the aim of detecting possible signs of potential systemic crises.
The system will be overseen by the National Banking and Insurance Commission (CNBS), the Central Bank of Honduras and the Insurance Deposit Fund.
An article in Elheraldo.hn states: "This entity can assess reports and approve the information system, policies, methodologies and emergency measures necessary to overcome circumstances that threaten the stability of the financial system.
It will also monitor the maintenance of systemic stability and healthy development of the financial system in Honduras. "Today we strengthen the security of the financial network, allowing tracking of all system institutions, whether they be banks, insurance companies or any other entities that make up the financial system", said Vilma Morales, president of the CNBS.
The National Banking and Insurance Commission had been criticized because it had not taken the appropriate steps to avoid the financial collapse of the Banco de los Trabajadores. "
Source: elheraldo.hn
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October 2008
During the first semester of 2008 the banks increased their earnings by 18 percent in comparison to the previous year.
President of the National Banking and Insurance Commission (CNBS), Gustavo Alfaro, reported that the banks in Honduras are solid and that the financial crisis in the United States has not had any immediate effect on the national system.
August 2011
The National Commission of Banking and Insurance (CNBS) will monitor 20 credit unions in a pilot project.
The initiative, called "Strengthening credit union’s competition and financial security within supervised framework," has the support of the Inter-American Development Bank (IDB) and the Federation of Credit Unions (FACACH).
February 2012
At the end of last year, 2011, the insurance market reported a growth of 9.6% compared with 2010.
According to the National Commission for Banking and Insurance (CNBS), growth in premiums was $28.7 million.
"According to the insurance industry, the only decrease, of 4%, was in the general insurance section which includes vehicle and fire policies, ..." reported the Laprensa.hn
November 2010
The loan will be used to finance the "programs to strengthen the financial safety net and improving access to financing."
The IDB representative in Honduras, Miguel Manzi, at the signing ceremony said the purpose of the Inter-American Development Bank is to support the government in a program for financial reforms and institutional changes in the sector.
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