Financial Stability
Big European companies reject third-party reporting for derivatives
Corporates fear they will still pay the penalty if mistakes are made by delegated reporting services
Draghi reframes push for ‘perfect union’ in Europe
ECB chief Mario Draghi says the concept of sovereignty should be considered from the perspective of an individual European, rather than an individual European state
ECB agrees €45 billion bilateral swap line with PBoC
European Central Bank joins a long list of central banks with renminbi swap line with the People’s Bank of China; deal is smaller than some speculated
Bank of Albania governor highlights impact of euro crisis on non-EU members
Eastern European countries that are home to branches and subsidiaries of eurozone banks fell victim to lenders' lower risk tolerance and insufficient regulatory coordination, says Ardian Fullani
New $100 bill the ‘most sophisticated piece of currency' to date, says Fisher
Most counterfeited US bill is embellished with new security features to 'deter bad guys' and protect consumers and businesses from losses
US resolution on debt ceiling ‘critical for global economy’, says BoJ’s Nakaso
Bank of Japan deputy governor Hiroshi Nakaso says the biggest threat to the US economy is the on-going dispute between politicians in resolving the debt ceiling; QQE in Japan remains on track
Bank of Finland paper quantifies Basel II shortcomings
Researchers evalute the extent to which the low level of loss-absorbing capital prescribed by Basel II increased the risk of unexpected loan losses taking out a bank
‘Unprecedented' US rate normalisation is global economy's biggest challenge, says IMF
Overshooting interest rates prompted by Fed taper may expose substantial financial weaknesses in both advanced and emerging countries, warns stability report; shadow banking of particular concern
Central Bank of Ireland diverges from Basel III on AFS bonds
Irish bank capital numbers would filter out unrealised gains and losses on government bonds
NPLs hold back Serbian banks as economic imbalances remain, says central bank
National Bank of Serbia financial stability report warns change in the behavioural pattern of European banks; says Fed taper could bridle domestic credit and economic growth in the medium term
BBA chair says European deposit guarantee scheme raises concerns about moral hazard
Nigel Wicks says single resolution mechanism ‘immensely complicated' and in need of treaty change while European deposit protection raises moral hazard issues; argues healthy eurozone is in UK's interest to maintain financial sector's 'critical mass'
Netherlands Bank says ECB’s asset quality review necessary to restore market confidence
Dutch central bank says lack of market confidence is making it difficult for European banks to build stronger balance sheets, and that the ECB’s asset quality review will help address this
BoE's Tucker wants more robust CCP governance
Bank of England deputy governor Paul Tucker raises concerns over the size and for-profit nature of CCPs; says stress tests not possible until loss allocation work is finalised
Malaysia’s Ibrahim tells Asian banks to be more data-savvy
Bank Negara deputy governor outlines changes that are sweeping the region’s financial markets; says banks need to do a better job of embracing technology if they are to keep up
Robert Pringle’s Viewpoint: ECB needs to play ‘chicken’ to force reform of Europe’s banks
The ECB won a game of brinkmanship with governments to secure the establishment of the bail-out fund. It needs to use the same tactic with three clear elements to force through bank reform
European finance sector needs complete overhaul, says ECB's Praet
Executive board member says Europe's financial sector must be overhauled in 'its entirety' not through ‘selective mending'; warns of Japanese-style zombie banks undercutting return to growth
Norges Bank handed advisory role on macro-prudential policy
Norwegian central bank will advise the ministry of finance on whether it should impose a countercyclical capital buffer and, if so, what size it should be
BoE prepares to implement Banking Standards recommendations
Response to final report of the UK’s Parliamentary Commission on Banking Standards endorses the majority of the findings, although many points require further consultation
Fed's Stein seeks right regulatory mix on fire-sales for SFTs
Fed governor Jeremy Stein calls for new mix of rules to ensure ‘fire sale’ of securities financing transactions work at the system-wide level
Kocherlakota urges Fed to do ‘whatever it takes’ to boost labour market
Persistently low inflation means the Federal Reserve can throw all its resources behind the fledgling labour market recovery, according to the Minneapolis Fed president
Maltese politicians clash over new deputy governor appointment
Move to appoint a deputy governor in charge of financial stability at the Central Bank of Malta led to opposition accusations of politicisation
Fijian governor foreshadows application of mobile payments in agriculture
Barry Whiteside says mobile banking is fast becoming an ‘accepted mode of payment’ and has the ability to transform Fiji’s agricultural sector
Hungarian central bank takes over financial stability role under new deputy governor
László Windisch will be in charge of financial stability, as former financial services authority is brought inside the central bank
Bank of Lebanon signs memorandum of understanding with Dubai FSA
Agreement aimed at improving information sharing on financial stability issues was signed by regulators in Dubai earlier this week