As part of a package of policy measures designed to address the moral hazard risks posed by systemically important financial institutions the Financial Stability Board (FSB) issued the Key Attributes of Effective Resolution Regimes. The Key Attributes set out the core elements of effective resolution regimes that apply to any financial institution that could be systemically significant or critical in the event of failure.

To ensure effective implementation of the Key Attributes, the FSB decided to carry out a series of iterative peer reviews. The first such review was completed in April 2013. The FSB has now launched its second peer review which will examine the range and nature of resolution powers that are available in FSB jurisdictions for the banking sector, and to take stock of any requirements for recovery and resolution planning for domestically incorporated banks in FSB jurisdictions that could be systemically significant or critical in failure.

The deadline for feedback on the peer review is 8 May 2015. The responses will then be analysed and discussed by the FSB later this year. The report on the peer review will be published in early 2016.

View FSB launches second peer review on resolution regimes and invites feedback from stakeholders, 13 April 2015