BIS establishing innovation hubs

Three innovation hubs have been given the go-ahead by the Bank for International Settlements (BIS) and are aimed at helping central banks to better understand and to collaborate around developments in fintech. 

BIS warns of debt-related risks with no obvious imminent danger

While there are no obvious risks to global financial stability as of yet, there are a number of vulnerabilities that are a cause for concern, such as high levels of debt in certain parts of the economy, said Agustín Carstens, general manager at the Bank for International Settlements (BIS).

DLT risks being a step backwards rather than leap forward for settlements

Distributed ledger technology (DLT) has stirred much excitement in the financial sector, promising to increase the speed and efficiency of clearing and settlement, but one analyst believes the optimism is overdone. 

No need to change TLAC, but FSB monitoring implementation

There currently is no need to modify the total loss absorbing capacity (TLAC) rule, but further efforts are needed to implement the standard effectively, the Financial Stability Board (FSB) said in a statement.

FSB says compensation procedures that reduce risk remain untested

Most banks have established compensation practices and procedures to reduce inappropriate risk-taking, but their effectiveness is still being tested, the Financial Stability Board (FSB) said in a report

Basel Committee asks for disclosures around leverage ratio window dressing

To address concerns over quarterly bank window dressing activities to flatter their leverage ratio numbers, the Basel Committee on Banking Supervision is asking banks for greater disclosure around their securities financing transactions (SFT).

BIS calls for regulatory co-operation to manage big tech’s push into finance

Harvesting the benefits while containing the risks associated with big tech’s entry into financial services needs a comprehensive approach drawing on financial regulation, competition policy and data privacy rules, the Bank for International Settlements (BIS) said in its annual report.

Basel Committee revises SA-CCR leverage ratio treatment on client derivatives margins

Revisions have been made to the leverage ratio treatment of client cleared derivatives by the Basel Committee on Banking Supervision in the standardised approach to measuring counterparty credit risk exposures (SA-CCR).

FSB reports concerns to G20 over debt levels and implementation of reforms

In a letter dated June 25 to G20 leaders, the Financial Stability Board (FSB) said it remains vigilant over the emergence of new risks, wants to harness the benefits of innovation, complete agreed global reforms, promote an integrated financial system and strengthen the body’s accountability. 

Congress slams EU attitude over derivatives supervision

Congressmen in the House of Representatives agriculture committee hit out EU plans to toughen derivatives supervision labelling it as retribution during a hearing held on June 26.