Bank Negara Malaysia said the country’s lenders have no direct exposure to the failed US banks and that the banking system remains well-capitalized.

“Any indirect exposure from counter-parties or borrowers with linkages to the US banks is also very limited,” BNM said in an emailed response to questions by Bloomberg News. All licensed banks in Malaysia must comply with “stringent capital and liquidity rules on an ongoing basis” to ensure banks can withstand “severe macroeconomic and financial shocks,” it said.