Central banker: Savings & loans will become banks
Santo Domingo.- The Central Bank on Thursday announced that savings and loan associations will be converted into commercial banks, but didn’t specify how their assets will be distributed.
As currently conceived, the S & Ls are the property of all its depositors, while commercial banks are privately held.
The measure will make S & Ls property of the public depositors in the hands of stakeholders and puts an end to mutualism, created 50 years ago to spur Dominican Republic’s housing development.
Central banker Hector Valdez said the Monetary Board will meet in the coming weeks to analyze their proposed conversion, into one of the equity figures as the Monetary and Financial Law stipulates, including multi-banking, or savings and loan corporate credit bank.
Valdez made the announcement in a meeting with Dominican Savings and Loan League executives, and representatives from various associations.
Category: DR News |