Banks
Bank of Israel: riskier firms still turn to banks for funding
Bank of Israel study says profitability of firm and size determined method of financing with low profit firms preferring bank loans
Spanish bank borrowing from ECB continues to balloon
Spanish banks continue to depend on European Central Bank after stress tests exposed capital shortfalls
Bank of Korea: bank lending picks up in July
Bank of Korea’s July report on financial markets shows lending to large corporations increased in South Korea
Banks can deal with refinancing burden: ECB
European Central Bank gives vote of confidence to lenders, pointing out banks were able to refinance $2.4 trillion in maturing debt between 2007 and June this year
RBI moots new bank licences to increase competition
Reserve Bank of India says it may issue new bank licences; higher capital requirements are expected
New Zealand mulls lightening banks’ reporting load
Reserve Bank of New Zealand seeks to remove doubling in reporting requirements and bring standards for Kiwi banks in line with international practice; mooted changes expected to reduce compliance cost
Singapore slaps biggest bank with extra capital requirements after technical glitch
Monetary Authority of Singapore censures DBS and imposes additional capital requirements after technical failure caused bank’s services to shut down in July; fault pinned on poor risk oversight
BIS: Global banking at a crossroads
Bank for International Settlements study says financial crisis has changed the model for international banking
Eurozone banks tighten standards as loan demand grows
European Central Bank’s second quarter lending survey shows banks toughening standards for borrowers, reflecting unease from sovereign debt crisis spillover; demand, meanwhile, increases
CEPR: Central banks stuck in interest rate trap
Centre for Economic Policy Research study says central banks will inevitably end up in a low interest rate trap during a crisis
Ireland’s Honohan talks about new capital adequacy requirements
Central Bank of Ireland governor Patrick Honohan sets out plans for tougher capital requirements on Ireland’s banks
EU stress tests detail exposure to Piigs debt
Stress tests show which banks are heavily exposed to riskiest sovereigns
Hungary prepares bracing bank tax, wage caps
Hungarian parliament set to approve hefty bank levy to shear budget deficit; public sector wage freeze will affect central bank employees, despite ECB protests
US deposit insurance ceiling permanently raised to $250,000
Dodd-Frank law makes temporary $250,000 limit permanent; Federal Deposit Insurance Corporation says new law will apply retroactively
Estonia upgraded on euro accession; Ireland knocked down on banks’ weakness
Fitch lifts Estonian credit rating two notches, citing benefits of eurozone membership and strong fiscal performance; Moody’s downgrades Ireland on poor growth projections, worries over bad bank
Nigeria’s bad bank comes to life
Nigerian President signs bill approving creation of bad bank to take $10 billion in toxic loans off beleaguered banks’ balance sheets; agency to be up and running by end-September
Bank of England – Trends in Lending (July 2010)
Bank of England’s July lending report shows further declines in bank loans as demand continues to weaken
Fed is the main winner from Dodd-Frank bill: Meyer
Former Federal Reserve governor Laurence Meyer says the central bank has gained powers it wanted and shed responsibilities it did not, despite initial anti-Fed sentiment among lawmakers
Spanish banks’ reliance on ECB rockets again
Bank of Spain data shows the country’s lenders borrowed 48% more from the European Central Bank in June than in May; figures renew worry on sector’s health, but government remains adamant
Brussels will drain London banking sector: top bankers
HSBC chair Stephen Green warns that European legislation will eradicate London’s competitive edge as a financial centre; says Basel III will curb trade finance
Taiwan’s Perng calls on banks to curb housing boom
Taiwanese central bank governor Perng Fai-nan demands lenders tighten rules in order to stifle exuberance in housing market; real estate loans worth more than half the island’s GDP
Europe hikes capital rules, slashes banker bonuses
Legislation adopted by European Parliament requires banks hold up to four times more capital to protect against trading risk; half of bankers’ bonuses to be paid in contingent capital
Protests at Icelandic central bank on car loan rules
Several hundred demonstrators congregate around central bank in peaceful protest against delinking of car loans from foreign currency exchange rates; rule change could see up to 10% of Icelanders hit with higher repayments
Interview: Sanusi Lamido Sanusi
The governor of the Central Bank of Nigeria discusses banking reform, the Volcker rule, and the role of lenders in society