Regulation
Systemic banks prioritised in onsite inspections
Supervisors’ activities commonly include interviews, reviews and verifications
HKMA taps GenAI to monitor shadow banking risk
News headlines, social media and bank earnings calls all followed using in-house tools
Onsite inspection frequency tailored to individual firms’ risk profiles
All authorities in high and middle income countries engage in risk-based exercises
Book notes: Our dollar, your problem, by Kenneth Rogoff
An excellent overview of the evolution of the world economy during the last seven decades, and a warning against complacency
Pillar 2 supervisory requirements broadly decided at national level
Only 15% of authorities operate regional supervision offices
Basel III not holding back development finance – Thedéen
Regulations should not be viewed as “scapegoat” for lack of investment, says committee chair
People: RBNZ announces board appointments
Grant Spencer joins while Goldman alum Byron Pepper is reappointed
Supervisors rate resource sufficiency higher than staffing
Annual salary of supervision officials averages just over $40,000
Most supervisors have mandate to oversee non-banks
Supervision department staff average just over 150 individuals
Ex-OCC chief Michael Hsu on the impact of an America-first agenda
The former acting comptroller of the currency speaks with Christopher Jeffery about the future of the US Treasury market, Fed independence, financial de-regulation, the Genius Act and international co-operation
Global economy at ‘pivotal moment’, BIS says
Policy-makers must not forget structural weaknesses when dealing with near-term shocks, body says
Central bankers launch forum to share supervisory expertise
Forum on Financial Supervision at LSE overseen by Pedro Duarte Neves and Andrea Enria
Fed unveils plan to cut leverage ratio requirements
Bowman says proposed eSLR reform will free up banks’ capacity to deal in Treasury market
Brain drain at OCC raises concerns about US model supervision
Quant team cull will reduce capacity to validate bank models, but that could be part of the plan
Bank of England urged to rethink HHI concentration risk add-on
Experts think overhaul of credit risk measure should be part of PRA’s ongoing Pillar 2 review
Paraguay’s Carvallo Spalding on resilience and cutting its inflation target
The Central Bank of Paraguay (BCP) governor speaks about lowering the inflation target to 3.5%, opening up to foreign investors and promoting inclusion through digital payments
Regulatory confusion hinders euro stablecoins, says DRW founder
Conflicting interpretations of EU rules will divert more capital away from euro assets, says Don Wilson
EBA mulls rule changes to speed up model approval process
Reducing compliance burden of credit risk model updates can aid banks and supervisors
US Senate passes ‘Genius Act’ to regulate stablecoins
Regulators express concerns over stability risks; senator says bill could trigger “next financial meltdown”
BoE seeks balance in regulating financial innovation
Prudential supervisor outlines hands-off approach for AI but tight rules for crypto
Regulators ‘not done’ with bank and non-bank rules – Knot
Outgoing FSB chair says some regulations are “overly complex” but must not be weakened
BoE analysis sparks debate over reuse of repo collateral
Central bank policy analyst contends reuse of collateral may amplify volatility in repo rates
BoK expresses ‘grave concern’ over Korean economy
Governor says stimulus needed, but cautions against expecting too much from rate cuts
Central banks favour instant payments over CBDCs
Interoperability of systems and financial inclusion drive decisions among survey respondents