Asia

Topic: Banking

Subscribe to Banking RSS feed

2023 list of global systemically important banks

On 27 November 2023, the Financial Stability Board (FSB) published the 2023 list of global systemically important banks (G-SIBs). FSB member authorities apply the following to G-SIBs: high capital buffer, total loss-absorbing capacity, group wide resolution planning and regular resolvability assessments and higher supervisory expectations including for risk management functions. The new list of G-SIBs … Continue Reading

Basel Committee publishes more details on global systemically important banks

On 27 November 2023, the Basel Committee on Banking Supervision published material related to the identification of the 2023 global systemically important banks (G-SIB), including updated denominators used to calculate banks’ scores, the thresholds used to allocate the banks to buckets and the values of the 13 high-level indicators of all banks in the main … Continue Reading

Basel Committee supervisory newsletter on the adoption of POR and PSMOR

On 27 November 2023, the Basel Committee on Banking Supervision (Basel Committee) published a supervisory newsletter on the adoption of the Principles for Operational Resilience (POR) and the revised Principles for the Sound Management of Operational Risk (PSMOR). The newsletter reports on the Basel Committee’s evaluation of the POR and the PSMOR in early 2023 … Continue Reading

Basel Committee newsletter on the implementation of the principles for the effective management and supervision of climate-related financial risks

On 22 November 2023, the Basel Committee on Banking Supervision (Basel Committee) published a newsletter on the implementation of the Principles for the effective management and supervision of climate-related financial risks (the Principles). The Basel Committee published the Principles, which seek to improve banks’ climate-related financial risk management and supervisors’ practices, as part of its … Continue Reading

FSB report on 2023 bank failures and the preliminary lessons learnt for resolution

On 10 October 2023, the Financial Stability Board (FSB) published a report on the 2023 bank failures and the preliminary lessons learnt from resolution. The report identifies preliminary lessons learnt regarding the FSB’s Key Attributes of Effective Resolution Regimes for Financial Institutions (Key Attributes) for: The report seeks to set out a clear understanding of … Continue Reading

FSB publishes annual report on promoting global financial stability

On 11 October 2023, the Financial Stability Board (FSB) published an annual report on promoting global financial stability. The report, which was delivered to G20 Finance Ministers and Central Bank Governors ahead of their meeting in Marrakesh, describes the FSB’s work to promote global financial stability. The report looks at the banking turmoil in March … Continue Reading

Basel Committee report on the 2023 banking turmoil

On 5 October 2023, the Basel Committee on Banking Supervision published a report on the 2023 banking turmoil. The report assesses the causes of the banking turmoil, the regulatory and supervisory responses and the initial lessons learnt. Drawing on the findings of this report, the Basel Committee is pursuing a series of follow-up initiatives including: … Continue Reading

Recovery and Resolution: Regulation Around the World

In this latest edition of Regulation Around the World we review the position regarding recovery and resolution for banks. Following the 2008 global financial crisis, the G20 leaders endorsed at the Cannes Summit in November 2011, the Financial Stability Board’s Key Attributes of Effective Resolution Regimes for Financial Institutions as the international standard for resolution … Continue Reading

Basel Committee consults core principles for effective banking supervision

On 6 July 2023, the Basel Committee on Banking Supervision (Basel Committee) published a consultive document on core principles for effective banking supervision (the Core Principles). The Core Principles are the de facto minimum standards for the sound prudential regulation and supervision of banks and banking systems. They are universally applicable and accommodate a range … Continue Reading

New briefing note: Regulation and lending during a cost of living crisis: Five global themes

In many jurisdictions there has been heightened regulatory scrutiny on how financial institutions are dealing with borrowers in financial difficulty. When looking at the statements and criticisms’ that the regulators have made and what institutions themselves have self-identified, the issues may revolve around five key themes – vulnerable customers, due diligence/understanding customers, forbearance, communications and … Continue Reading

BIS paper on central bank digital currencies: ongoing policy perspectives

On 25 May 2023, a group of central banks, together with the Bank for International Settlements, published a paper on central bank digital currencies (CBDC): ongoing policy perspectives. Since publishing (i) a report in October 2020 setting out the common foundational principles and core features of a CBDC, and (ii) an executive summary and three … Continue Reading

FSB publishes letter to G20 on recent banking turmoil and cyber threats

On 12 April 2023, the Financial Stability Board (FSB) published a letter from its Chair, Klaas Knot, to G20 Finance Ministers and Central Bank Governors, ahead of their meeting on 12-13 April. The letter discusses the recent turmoil in the banking sector and touches on its recommendations to address increasing cyber threats. Mr Knot notes … Continue Reading

Basel Committee publishes various technical amendments and FAQs

On 30 March 2023, the Basel Committee on Banking Supervision published updated a Technical Amendment document containing various technical amendments and FAQs. The Technical Amendment document contains proposed amendments to the Basel Framework relating to the: The deadline for comments on the proposed amendments is 15 May 2023. The Basel Committee has also finalised a … Continue Reading

Basel Committee announces a review of recent market developments, advances work on climate-related financial risks, and review of Basel Core Principles

On 23 March 2023, the Basel Committee on Banking Supervision (Basel Committee) announced a range of policy and supervisory initiatives, following a meeting on 14 March and 22-23 March to take stock of recent market developments and risks to the global banking system. Following the meeting, the Basel Committee announced the following:… Continue Reading

Basel Committee publishes evaluation of the impact and efficacy of the Basel III reforms

On 14 December 2022, the Basel Committee on Banking Supervision published a report on the evaluation of the impact and efficacy of the Basel III reforms. This report provides the Committee’s first holistic evaluation of the impact and efficacy of the Basel III reforms and how they have affected bank resilience and systemic risk as … Continue Reading

BIS newsletter on bank exposures to non-bank financial intermediaries

On 24 November 2022, the Bank for International Settlements (BIS) published a newsletter on bank exposures to non-bank financial intermediaries. The newsletter highlights the following: The non-bank financial intermediary (NBFI) sector continues to grow and has the potential to cause financial stability concerns, though its size and the associated risk vary amongst member jurisdictions. Recent … Continue Reading

FSB publishes list of globally systemically important Banks

On 21 November 2022, the Financial Stability Board (FSB) published the 2022 list of globally systemically important banks (G-SIBs). The list is based on end-2021 data and an assessment methodology designed by the Basel Committee on Banking Supervision, which was revised in 2018. The revised methodology is applied for the first time this year. The … Continue Reading

EBA Opinion on the set-up and operationalisation of intermediate EU parent undertakings

On 7 November 2022, the European Banking Authority (EBA) published an Opinion on the set-up and operationalisation of intermediate EU parent undertaking(s) under Article 21b of the Capital Requirements Directive IV (CRD IV). Article 21b of the CRD IV strengthens the supervision of third-country groups with significant activities in the EU. It does this by … Continue Reading

BCBS reaffirms Basel III implementation expectations and work priorities

On 13 September 2022, the Basel Committee on Banking Supervision (BCBS) published a press release following a meeting of the Group of Central Bank Governors and Heads of Supervision (GHOS) reaffirming their expectation to implement Basel III in full and work as fast as possible; provide direction on future work on climate-related financial risks and … Continue Reading

Implementing Basel III

On 8 February 2022, the Basel Committee on Banking Supervision (Basel Committee) published a speech by its Chair, Pablo Hernández de Cos, entitled ‘Implementing Basel III’. Key points in the speech include: An open global financial system requires a set of global minimum and consistent prudential standards. A failure to achieve this could result in … Continue Reading

The Council of the IFSB has adopted two new standards

On 10 December 2021, the Council of the Islamic Financial Services Board (IFSB) adopted two new standards: IFSB-23: Revised Capital Adequacy Standard for Institutions offering Islamic Financial Services (IIFS). IFSB-23 was developed to align the IFSB’s guidance on capital adequacy for the banking sector with the latest updates to global capital standards, particularly those issued … Continue Reading

FSB global monitoring report on non-bank financial intermediation

On 16 December 2021, the Financial Stability Board (FSB) published the Global Monitoring Report on Non-Bank Financial Intermediation 2021. The report presents the results of the FSB’s annual monitoring exercise to assess global trends and risks in non-bank financial intermediation (NBFI). In contrast to the trend over the past decade, the NBFI sector grew less … Continue Reading

FSB illustrates practical approaches to the execution of bail-in

On 13 December 2021, the Financial Stability Board (FSB) published a paper on the execution of bail-in. Bail-in is at the core of resolution strategies for global systemically important banks (G-SIBs). Set out in the Key Attributes of Effective Resolution Regimes for Financial Institutions, it is an important tool enabling an orderly resolution that minimises … Continue Reading

FSB 2021 Resolution Report: “Glass half-full or still half-empty?”

On 7 December 2021, the Financial Stability Board (FSB) published its 2021 Resolution Report. The Resolution Report takes stock of the progress made in implementing the FSB resolution policies and enhancing resolvability across the banking, financial market infrastructure, and insurance sectors. It also sets out the FSB’s priorities in the resolution area going forward. Looking … Continue Reading
LexBlog