Contracts Awarded for CIMA and PFE
Published 7th April 2009, 7:33am
The Central Tenders Committee (CTC) awarded contracts for two related projects on the Basel II Framework for the Cayman Islands Monetary Authority CIMA) and renewed the public relations contract for the Portfolio of Finance and Economics.
The purpose of Basel II, which was initially published in June 2004, is to create an international standard that banking regulators can use when creating regulations about how much capital banks need to put aside to guard against the types of financial and operational risks banks face.
Advocates of Basel II believe that such an international standard can help protect the international financial system from the types of problems that might arise should a major bank or series of banks collapse. In practice, Basel II attempts to accomplish this by setting up rigorous risk and capital management requirements designed to ensure that a bank holds capital reserves appropriate to the risk the bank exposes itself to through its lending and investment practices.
Generally speaking, these rules mean that the greater the risk to which the bank is exposed, the greater the amount of capital the bank needs to hold to safeguard its solvency and overall economic stability.
The first in the sum of US$965,000 was awarded to Decisionsoft Ltd. (U.K.) for the provision of Basel II Electronic Data Reporting, with the mandate of providing a mechanism to collect Basel II regulatory data from CIMA regulated banks via electronic submission. This project will when completed will facilitate effective supervision and monitoring of banks by CIMA and will produce an evaluation report based on the data collected.
The second contract was awarded to Celerus Inc. (Canada) in the sum of US$1,077,708 for the Basel II Data Warehousing and Analysis. This project involves the storage of data, data retrieval capabilities, reporting and analytic services. Both projects are expected to be complete by mid 2010.
The Portfolio of Finance and Economics renewed the public relations contract estimated at US$662,000 with Fleishmann Hilliard for global, strategic public and media relations, public affairs and lobbying services in relation to the Cayman Islands financial services industry.
For more informationAriana Rahamut
Public Relations Officer,
Portfolio of Finance & Economics
P +1 (345) 244 2280