Global regulators have long kept an eye on the shadow banking sector from afar and warned that it may be a source of systemic risk, but the pandemic-driven market turmoil in March was a tipping point. The Financial Stability Board is now calling for firm action to “strengthen the resilience of non-bank financial intermediation”. 

Clearing house members have cautiously welcomed the latest FSB guidance on CCP resolution, which contained few surprises, but argue it should go even further. 

The Bank for International Settlements warns of “new risks and challenges that warrant close monitoring” in foreign exchange algorithmic trading, as well as other fast-paced, electronic markets. 

The chair of the European Central Bank’s supervisory board, Andrea Enria, is pushing for a eurozone ‘bad bank’, but faces stiff opposition and scepticism from politicians and banking experts alike. By Farah Khalique

The financial impact of the Covid-19 pandemic on banks could see the Basel Committee on Banking Supervision review parts of the Basel framework, with the BIS’ Agustín Carstens offering some clues as to where tweaks might be made.

Covid-19 and climate change are sending supervisors back to the drawing board when it comes to the design of stress tests to ensure banks are fully prepared for an increasingly uncertain future

Analysts are confident that most banks can cope with the economic impact of a second wave of the Covid-19 pandemic, but they warn that losses could nonetheless pile up

The dramatic collapse of Wirecard, once one of Europe’s leading fintechs, has left in its wake wide-ranging questions around supervision and the role of Germany’s regulator, BaFin

Though EU regulators have moved swiftly to ease compliance and capital burdens on banks, they nonetheless still face challenges, particularly when the non-performing loans start to pile up.

Will Brexit and the Covid-19 pandemic prove to be a catalyst to revive efforts to establish a capital markets union in the EU, or will it be the final nail in the coffin for this beleaguered project?