Europe
Investment funds procyclical to bond markets – ECB blog
Vehicles sell sovereign debt in times of stress while other investors step in to buy it
Limit on insured bank deposit payouts averages $50,000
One in 10 jurisdictions lack any deposit insurance fund
Speedy on-boarding: the push for faster model approvals
Europe’s banking watchdog is planning to streamline how it authorises credit model updates. Not a moment too soon, say bankers
Two in five central banks see need for more macro-pru tools
Caps on loan-to-value ratios are respondents’ most actively used policy
Czech Republic holds rates again and upgrades growth outlook
CNB says economy running hot on all fronts warrants restrictiveness in monetary stance
AI most widely used for document preparation in financial stability
Smaller financial stability teams less likely to utilise technology
ECB study points out unevenness in EU capital rules
Current prudential framework generates “unwarranted heterogeneity” in banking union, authors argue
Central banks with resource deficiency tend to pay higher salaries
Average financial stability budget also higher in units with that report non-staff resource shortage
The Bank of England’s four pillars for a new CCP rule book
Executive director urges feedback on margin transparency, broader collateral and aiding innovation
Financial stability staff sufficiency improves year on year
Most central banks report contentment with non-staff resources
ECB paper finds strong policy can stop expectations de-anchoring
Communicating counterfactual scenarios can help to inform monetary policy decisions
Most central banks co-ordinate monetary and financial stability tools
Cross-scenario evaluation and committee overlap cited as areas of interaction
Elizabeth McCaul on supervision, new macro-dynamics and investing in suptech
Former ECB Supervisory Board member speaks about Covid-19 and Credit Suisse shocks, regulation debates, the rise of non-banks and what makes tech projects succeed
Will the UK’s FRTB time warp turn into a horror show?
UK regulator’s proposed transition year in 2027 could double banks’ implementation work
European banks resilient to shocks, EBA says after test
Lenders’ greatest vulnerability is credit risk but they can withstand adverse scenarios, regulator says
ECB looks to cut carbon via business travel
Bank says its footprint remains “well on track” to reach 46.2% reduction in emissions by 2030
More independent central banks take on greater risk – ECB paper
Low rates, tighter fiscal policy and good growth accompanied by higher risk-taking on balance sheets
Financial technologies are increasing AML/CFT risks – EBA
Crypto increasingly used to facilitate crime, while fintech firms prioritise “growth over compliance”
Obituary: Süreyya Serdengeçti, 1952–2025
Governor of Turkey’s central bank whose policies brought inflation down from 75% to single-digit figures
ECB staff committee protests over bank’s ‘misuse’ of powers
Letter claims president and fellow board member do not practise the values they preach
European Commission already preparing next FRTB move
As EC runs out powers to delay rules again, proposal for temporary capital relief is on the agenda
ECB to apply climate risk to collateral framework
Move expected to reduce value of assets in bank’s refinancing operations
People: Olli Rehn to chair ECB’s audit committee
Plus: Gita Gopinath to step down as IMF’s first deputy managing director
Bank of England floats ‘quasi-IMA’ in FRTB standardised method
Dealers welcome new route to capitalising residual risk, but it could fragment global ruleset