Regulation
Banks are reallocating risk, not reducing it – NY Fed study
Under Basel III, banks’ parent companies have made NBFI subsidiaries more fragile, authors say
Jasmina Selimović on managing Europe’s last currency board
The Central Bank of Bosnia and Herzegovina governor speaks about building resilience to counter geoeconomic shocks, strengthening reforms amid EU convergence, addressing stablecoin and NBFI risks, Sepa integration, and capacity building.
Regulators face trade-off when it comes to bitcoin – BdF paper
Rules can reduce price disparities but leave local markets vulnerable to potential shocks
Have regulators gone soft on enforcement? (And should we care?)
US agencies are scaling back punishments for technical rule breaches, raising concerns that small but crucial risks may be ignored
How US regulators could stop management driving Camels
Supporters flag disconnect from other indicators; critics fear early warnings will go unnoticed
US regulators throw banks a curveball on committed credit lines
New Basel III charge on undrawn facilities will hit largest banks in areas like fund finance and credit cards
Cross-border co-operation stronger for non-central bank supervisors
Roughly one-fifth of central banks lack supervisory college membership
Supervisors report capital and liquidity resilience across banks
Basel II remains most adopted global standard among respondents
Fragmented rules obstruct tokenisation efforts, panellists say
Divergent US, UK and EU stablecoin rules and legal protections limiting cross-border growth
Data lakes and cloud are top tools for supervisory automation
Around half of authorities report extensive or full automation of supervisory data collection
Size and business model are key elements of risk profile
Supervisors tend to inspect systemic banks once a year
Supervisors report sharp increase in AI adoption
Summarisation ranks as topmost area of application, with biggest use in larger teams
Soledad Núñez on the future of European financial stability
Spanish deputy governor discusses global regulation and lessons from extreme weather
Banque de France’s Denis Beau on supervisory reform
The Banque de France’s deputy governor speaks about suppression of the systemic risk buffer, proposals for a TLAC floor, and simplifying bank regulation and resolution
Co-ordination key to alleviating tokenisation risks – IMF official
When activity is on shared ledgers, governance failures become systemic risks, Tobias Adrian says
Credit risk is supervisors’ top priority
Climate and AI risks rank lowest across respondents
Lagarde ‘regrets’ forward guidance and Warsh plans ‘family fight’
Fed, ECB, BoC and BoE heads discuss inflation, uncertainty, AI, stagflation and independence in Sintra
Private credit ‘probably closer’ to end of cycle
Risk managers say regulatory scrutiny, such as BoE’s Swes, is justified
More data does not mean better outcomes – EBA policy expert
EU’s previous credit risk approach created ‘crazy backlog of model validations’, official says
EUR vs USD stablecoins is the wrong debate
Market structure and regulatory cohesion is at the centre of the stablecoin liquidity evolution, says Flow Traders’ digital assets head
BoE publishes approach to joint stablecoin regulation with FCA
Framework sets out path for stablecoin issuers facing oversight from two regulators
African supervisory authorities tend to lack sufficient staff
Most respondents combine banking supervision in one unit
Mervyn King on his career and big ‘mistakes’
The former BoE governor speaks with Christopher Jeffery about the value of transparency, lessons from the GFC, the need to track broad money and tie short-term funding to haircut collateral, and danger presented by non-banks