Banks
RBI deputy governor warns of moral hazard in debt restructuring
Kamalesh Chandra Chakrabarty says number of bank accounts being restructured has grown at a disproportionate rate since 2009; suggests actions to address problem
Bank of Thailand statistics show ‘resilient’ banking system
Figures for second-quarter 2012 indicate strong growth of lending and profits in Thai banking sector; results boosted by continued decline in non-performing loans
Nigerian bank responds to central bank call for more female leadership
United Bank for Africa appoints two female board members; follows push from financial sector leadership to increase number of women in senior roles in the industry
IMF paper finds evidence in favour of ‘Chicago Plan’
Researchers analyse benefits of requiring 100% reserve backing of bank deposits and lending financed by retained earnings; argue evidence supports four major advantages of plan
National Bank of Rwanda highlights stable financial system
Financial stability report says Rwandan banks are well capitalised and have achieved increases in profitability since 2009; warns of high level of non-performing loans and external risks
Bollard sets out vision of ‘new world’ economy
Governor of the Reserve Bank of New Zealand warns shift of global economy in favour of emerging Asia brings both risks and benefits; says attitudes towards debt have become more cautious
Croatian National Bank identifies increasing risks to financial stability
Financial stability report says contagion from eurozone, deleveraging by European banks or collapse of confidence in fiscal sustainability could push Croatia into deeper recession
Central Bank of Ireland paper outlines changes to country’s European funding
Quarterly bulletin examines Ireland’s reliance on funding from Europe; highlights a decline in borrowing from Europe and an increase in Target2 liabilities
Cleveland Fed researchers find fault with BoE’s Funding for Lending
‘Economic Trends’ research from the Federal Reserve Bank of Cleveland identifies possible flaws in the Bank of England’s Funding for Lending Scheme; warns of risk to independence
UK Funding for Lending Scheme opens
Bank of England and UK Treasury’s Funding for Lending Scheme window opens to UK banks and building societies; institutions have 18 months to borrow cheaply under the arrangement
BIS paper assesses impact of public recapitalisations on bank risk
Research analyses changes in risk levels in banks that required public funding during the financial crisis; finds no consistent evidence that rescued banks reduced their risk by more than other banks
IMF paper estimates social costs imposed by systemic liquidity risk
Working paper develops systemic liquidity risk index to evaluate social cost created by liquidity assistance to financial sector; suggests premium could be imposed on banks to cover cost
Bank of Mauritius governor calls for prosecution of failed bank leadership
Rundheersing Bheenick argues banks need to be held accountable for their actions; says individuals responsible for bank failure should be prosecuted
Central Bank of Ireland positive in quarterly bulletin
Quarterly bulletin suggests Irish growth is being held back by negative external developments; however, domestic indicators show signs of strength
National Bank of Serbia paper finds strong domestic bank lending channel
Working paper identifies 'significant' impact of monetary policy on domestic currency loan growth through bank lending channel; says channel is weak for foreign currency loans
Bank of Namibia ‘inundated’ with scam complaints
Central bank worried by reports of a number of suspicious business offers; cautions members of the public to avoid any schemes that appear to be in contravention of the Banking Institutions Act
Kosovan central bank launches sting operation on unlicensed financial institutions
Two locations investigated for conducting unlicensed financial activity; materials and equipment seized after fast-moving process
Laos central bank ignores IMF advice
IMF delegation again recommends increase of reserve requirements for banks; Bank of the Lao PDR says it will not make the change yet
Bank of Israel annual survey reports increased banking system risk
Annual survey of Israeli banking system says risk increased during 2011; outlines regulatory changes made to address the problem
Deutsche Bundesbank paper studies developments in financial connections
Discussion paper analyses changes in connectedness of financial institutions following financial crisis; suggests possible stability benefits created by bank bailouts
Basel Committee releases interim rules for CCP capital requirements
Interim rules update Basel II capital requirements framework for banks exposed to central counterparties; rules may still be adjusted as other elements of Basel III are finalised
BoE paper models risk of financial shock amplification
Working paper develops model of financial system linkages to illustrate shock transmission; finds spread of defaults is amplified by fire sales and curtailed lending
UK FSA chairman slams past regulatory mistakes
Adair Turner highlights ‘dangerous institutional underlap’ prior to financial crisis; sets out steps to improve regulation, but says bank management must also change
Nigeria’s Sanusi urges innovative infrastructure financing
Nigerian governor says country must find new ways of raising $10 billion each year for infrastructure investment; argues this requires both private and public funding