Section 4 Requirement for rating of the home country of a loan and collateral, and requirement on systems

Where loans are granted or acquired, the central authorities in the country where the collateral is present, or where the borrower or guarantor in the case of a public sector loan is domiciled, shall qualify for credit quality step 2 or better.

A mortgage credit institution shall have systems that document fulfilment of the Financial Institutions Act section 2-31 (asset coverage requirement) and section 2-28 (cover pool composition requirement).