Europe
ECB issues final guidance on NPLs
Supervisors are writing to larger eurozone banks with high NPL levels
Angeloni cautions over Commission’s SREP proposal
ECB regulator also welcomes EC’s Pillar 2 capital suggestion
Bundesbank president: blockchain brings benefits and pitfalls
Technology has the potential to make financial markets “faster” and “more efficient”; its introduction should be accompanied by regulation
Carney warns of fading regulatory momentum
“Nascent risks” could threaten progress made so far if lawmakers and regulators give in to “reform fatigue”, the FSB chairman says
Encouraging creation of ‘quasi-safe assets’ may be destabilising, paper argues
Investors have distinct “safety demand”, researchers argue
Policy intervention helps economies escape ‘stagnation traps’ – paper
Research published by ECB explains how “pessimistic expectations” can lead to low employment and growth, dampening investment; countercyclical subsidies could be the answer
Shadow banking links leave EU banks vulnerable – ESRB paper
European banks are largely exposed to three types of shadow financial entity, study finds
Deregulation could lead to further crisis – Lautenschläger
ECB supervisor worried by politicians’ calls for regulatory loosening
IMF authors examine conditions for structural reform success
Most labour and product market reforms strengthen medium-term output and fiscal sustainability, but they may be painful to implement in some parts of the cycle
ECB’s Cœuré argues against protectionism
ECB board member says protectionist policies reduce overall growth potential; calls for a more “efficient, enduring and equitable” approach to globalisation
Only struggling banks cut lending to raise capital ratio – IMF paper
Study of Eastern Europe says banks' strategy matters when it comes to assessing the impact of Basel III; only banks with low profitability cut lending to meet requirements
Italian governor calls for reform of NPL regulations
Bank of Italy paper sets out proposals for sterilising effects of NPL sales
Coeuré: Europe must redistribute gains from new technologies
Automation might destroy jobs faster than it creates them, ECB official says
No evidence fiscal rules affected Spanish deficits – paper
Researchers look at fiscal record of Spanish regional governments over 2002–15
ECB’s QE works best for strong banking systems – paper
Researchers track effects of ECB unconventional policy on eurozone countries
Spanish deputy governor hints at need for European banking mergers
Restoy says supervisors should not promote specific integrations
European agencies see pitfalls in growing big data use
Financial products likely to become more tailored to consumers, but that will not benefit everyone, regulators warn
People: Slovenia gets new deputy; ECB appoints new member to financial stability council
Slovenian parliament appoints new deputy to central bank; ECB chooses Finnish deputy governor to sit on financial stability council
Macedonian notes: world’s first security thread in long window
New designs entering circulation feature De La Rue’s Kinetic StarChrome; central bank also begins withdrawal of the D5,000 note
Bank of Ireland’s Cronin spells out Brexit process for insurance firms
“Hearts and minds” have to be in Ireland, says director of insurance supervision; 2017 will reveal the “reality” of Brexit, she says
Netherlands paper exposes differing capital flows across EMU
Paper examines the mechanism behind divergence of north and south eurozone members, as capital flows caused external imbalances to move in opposite directions
Netherlands paper explores people’s trust in pension funds
Most workers opt for flat-rate annuity arrangements but there are some deviations, authors find; expectations on expenses and trust appear to have an effect
Dealers urge further clarity on rules for ailing CCPs
New European rules stop short of defining resolution triggers
ECB minutes show concern over strength of future inflation
Wages growing at historically low rates, ECB council members say