Hadad signed the letter of intent (LOI) in Jakarta, which the BSP chief said 'signifies our intention to further explore areas of cooperation between our banking systems, especially on the entry of QABs.
The BSP defines QABs as 'strong and well-managed banks, headquartered in Asean and majority owned by Asean nationals.
For gold account holders, with QAB requirement of INR200,000, the charges will increase to INR1,000 per quarter compared to INR600 at present, and diamond account holders, with QAB requirement of INR500,000 will have to pay INR2,000 per quarter as against INR1,500 at present.
For current general accounts, the bank has also raised the initial deposit requirement in addition to QAB for rural, semi urban and urban sectors, in addition to increasing the minimum quarterly balance non-maintenance charges, the report noted.
While the HoA outlines market access and operational flexibilities that may be accorded to QABs from each jurisdiction into the other, these QABs shall operate under the prevailing laws and regulations in the Philippines and Malaysia, respectively.
A key provision of the HoA is that it allows up to three QABs from each jurisdiction to operate in the other country.
It was further agreed that the AOB will also review the framework of
QAB and may direct ICAP and
QAB to make whatever changes that it considers necessary or expedient to carry out reviews and inspections of public interest companies in accordance with international standards and best practices.
The
QAB collection also consists of a few miniature paintings depicting the spiritual romance between Radha and Krishna from the Kangra School of Painting (this particular School dates back to 260 years).
The agreement between the BSP and Bank Negara Malaysia (BNM) will allow up to three
QABs from each country to operate in the other under the Asean Banking Integration Framework (ABIF).
Asean member-states, therefore, have committed to complement the implementation of ABIF with stronger regulatory and supervisory cooperation arrangements between the home and host countries, so there will be effective monitoring and supervision of
QABs.
ABIF, approved by Asean member-states in 2014, allows
QABs to have greater access to other Asean markets and more flexibility in their operations there, according to the Asean website.
