Banks
‘Sandpile’ model makes case for supervisory intervention
IMF paper finds that arranging sales of failing banks is best policy, despite some side effects
Looming US Basel endgame redraft sparks calls to save IRB
Experts say 20 years of data makes credit risk models more appropriate than standardised approach
Cool heads must guide financial regulation of climate risk
Supervisors can’t simply rely on ‘magical thinking’ of market discipline, says Sergio Scandizzo
China to make use of all monetary tools to boost growth
PBoC flags external volatility and renews pledge to support economy in quarterly report
Trump, the Fed and climate’s undeniable systemic risk
Experts disagree on the impact of the Fed’s withdrawal from the NGFS but are united about climate change’s devastating effect on the financial system
FSB: big banks could be sidelined from future rescue deals
Exacerbation of too-big-to-fail means G-Sibs could already be too large to take extra assets
Banks’ leverage ratio ‘over-calibrated’, says Fed’s Bowman
Heavy capital requirements causing illiquidity in Treasury market, governor says
Tightening increases instability after supply shocks – IMF study
Authors say when other tools are too costly, rate hikes should be less aggressive
Bank of England mustering unit to model system-wide stresses
Permanent team at UK supervisor will work on buy- and sell-side interactions
Trump’s tariff threats fuel corporate FX hedging revamp
Treasurers mull options and longer-dated hedges in face of mixed signals on extent and timing of measures
Non-banks and banks are interwoven, says ex-RBI official
Policy-makers should study connections between them when crafting regulations, argues Viral Acharya
Bank of Canada study calls for standard accessibility practices
Academics say current banking infrastructure is inadequate for people with disabilities
Unexpected rate hikes push down commodity prices – research
The most traded commodities are more vulnerable to monetary policy shocks, BoE paper shows
Central banks need to step up their crisis management plans
Patrick Honohan argues that robust preparation can better protect reputations in the event of a crisis
Book notes: Central bank capitalism: monetary policy in times of crisis, by Joscha Wullweber
This book asks if independent monetary policy is feasible at a time when central banks prop up the poorly regulated shadow banking sector
EBA launches stricter EU-wide stress test for 2025
Banks face more scrutiny of credit risks following “overly optimistic projections” in past exercises
European Commission in ‘listening mode’ on potential FRTB changes
Delay or relief measures on the table after UK postpones start of Basel III to 2027
Vietnam’s central bank orders takeovers of two lenders
SBV continues with plan to force stronger banks to take over weaker ones
Central banks’ words matter for climate
Line between EMEs speaking about greening finance and AEs being wary of climate risks are blurring, argues Emanuele Campiglio
2025 capital market expectations: slowing but not sinking
Monetary policy is the governor of the relationship between growth and inflation
Stress-test findings should be combined – BoE’s Benjamin
Bank’s director of financial stability strategy emphasises importance of “joining the dots”
Lending conditions risk re-run of 2008 crisis, says FDIC chair
Gruenberg says proliferation of non-banks is adding to financial stability risks
Basel stops short on wrong-way risk
New guidelines a step in right direction, but experts warn they won’t prevent another Archegos
Rising corporate distress could trigger instability – IMF paper
Study says emerging markets particularly exposed as firms struggle with higher interest rates