5. Paragraph 1 (14) of the First Schedule to the principal Regulations is amended —
(a)
by deleting the word “and” at the end of paragraph (da) of the definition of “financial resource adjustment”, and by inserting immediately thereafter the following paragraphs:
“(db)
where it relates to an insurance fund established and maintained by a registered insurer under the Act and the registered insurer is required to maintain contingency reserves in respect of that fund under these Regulations, the negative of the lower of —
(i)
50% of the contingency reserves in each insurance fund established and maintained by the insurer in accordance with regulation 22A; and
(ii)
50% of the C1 requirement of that fund;
(dc)
where it relates to an insurance fund established and maintained by a registered insurer under the Act, the negative of the exchange translation reserves resulting from the translation of the financial statements of that insurance fund from a non-Singapore dollar denominated functional currency to the presentation currency in Singapore dollars;
(dd)
where it relates to the “Tier 1 resource” of a registered insurer, the sum of —
(i)
the amounts referred to in paragraphs (db) and (dc) in respect of all insurance funds maintained by the insurer; and
(ii)
the negative of the exchange translation reserves resulting from the translation of the financial statements of all assets and liabilities that do not belong to any insurance fund maintained by the insurer from a non-Singapore dollar denominated functional currency to the presentation currency in Singapore dollars; and”; and
(b)
by deleting the word “assets” in paragraph (e) of the definition of “financial resource adjustment” and substituting the word “adjustments”.