FSB’s G-SIB count rises by one bank to 30 institutions

Global standard setters have published the 2019 list of global systemically important banks (G-SIBS) which now number 30 financial institutions, one more than last year thanks to the addition of Toronto Dominion.

While Fed gives US banks thumbs up, OMFIF bemoans lack of detail

In its supervision and regulation report, the US Federal Reserve Board said US banks remain strong and well positioned for any downturn, though one think-tank thought the central bank did not dig deep enough into potential problem areas. 

US prudential agencies formally adopt SA-CCR for measuring counterparty risk

Large, internationally-active banks should replace the current exposure methodology with the standardised approach for measuring counterparty credit risk (SA-CCR), which smaller banks can voluntarily adopt, three federal agencies said in a statement.

Fed proposes extending go live date for credit limit rules for foreign banks

The Federal Reserve Board proposes extending by 18 months the initial compliance dates for foreign banks to come under its single-counterparty credit limit rule.

Agencies finalise supplementary leverage ratio measure

US federal prudential agencies have signed-off on changes to the supplementary leverage ratio as required by the Economic Growth, Regulatory Relief, and Consumer Protection act.

Basel Committee publishes SCCyB guidance

The Basel Committee on Banking Supervision published guidance on the sectoral countercyclical capital buffer (SCCyB), a tool it describes as being useful for targeting specific credit segments such as residential real estate to cool over lending.

Notional OTC derivatives hit highest levels since 2014

Notional amounts of over-the-counter (OTC) derivatives hit their highest levels since 2014 at $640tn at the end of June 2019, compared with $544tn at the end of 2018, the Bank for International Settlement (BIS) said in a statement. 

FSB finds no material impact on SME lending from Basel III

The Basel III reforms have generally had no material or persistent negative impact on bank lending to small businesses, though there are differences between jurisdictions, the Financial Stability Board (FSB) said in a report.

Basel Committee consults on tweaking the CVA risk framework

The Basel Committee on Banking Supervision is asking for views on updating the calibration of the credit valuation adjustment (CVA) risk framework and adjusting the scope of portfolios subject to CVA risk capital requirements. 

Bank of England looking to bank capital buffers to supplement monetary policy

Given the very low interest rate environment, capital buffers may need to become the main monetary policy instrument to counter swings in economic activity, according to the Bank of England.