PRAGUE Oct 17 The Czech central bank has put
certain restrictions on the local subsidiary of Russian lender
Sberbank's property lending, the bank said on Monday.
Czech media reported that the central bank banned Sberbank,
one of the smaller lenders on the Czech market, from providing
such loans in general, which the bank denied.
"It is not a general restriction, but a certain limit on new
projects which were not and are not a key segment for Sberbank
in this type of financing," Sberbank spokeswoman Hana Drapalova
"The restriction affects project and realty financing only
in those cases where a project rating model was used," she said,
adding the rating model's final adjustments are expected to be
made in November so that it meets the central bank's demands.
Sberbank declined to comment on the volume of loans
affected. The central bank confirmed the measures.
The Czech banking system as a whole has maintained
profitability and required no bailouts during and since the
global financial crisis.
Sberbank reported assets of 74 billion crowns ($3.07
billion) as of June 30, while its Tier 1 capital adequacy ratio
was 16.03 percent.
($1 = 24.0990 Czech crowns)
(Reporting by Robert Muller; Editing by Greg Mahlich)