Featured Product

    FSB Report on International Cooperation to Address Impact of COVID-19

    April 15, 2020

    FSB published a report that sets out the financial stability implications of COVID-19 pandemic and the policy measures taken to address the related challenges. The report sets out five principles that underpin the official community’s rapid and coordinated response to support the real economy, maintain financial stability, and minimize the risk of market fragmentation. Based on the principles, the report sets out the ways in which FSB supports international cooperation and coordination on the COVID-19 responses. The report was delivered to G20 Finance Ministers and Central Bank Governors ahead of their virtual meeting on April 15, 2020. Annex 1 of the report contains a table that provides a high-level overview of policy measures taken by the authorities in FSB jurisdictions in response to the COVID-19 outbreak.

    The response of official sector community is underpinned by the following principles:

    • Authorities will monitor and share information on a timely basis to assess and address financial stability risks from COVID-19, to maximize the benefit of a global policy response.
    • Authorities recognize, and will make use of, the flexibility built into existing financial standards—including through the use of firm-specific and macro-prudential buffers—to sustain the supply of financing to the real economy, to support market functioning, and to accommodate robust business continuity planning.
    • Authorities will continue to seek opportunities to temporarily reduce operational burdens on firms and authorities, to assist them in focusing on COVID-19 response. This includes, for instance, delaying implementation deadlines, re-prioritizing timetables for initiatives in other policy areas, or providing flexibility in technical compliance rules.
    • Authorities’ actions will be consistent with maintaining common international standards and preserving an international level playing field. Such actions will not roll back regulatory reforms or compromise the underlying objectives of existing international standards.
    • Authorities will coordinate, through the FSB and other standard-setting bodies, the future timely unwinding of the temporary measures taken, to assist in returning financial conditions and firms’ operations to normal in a smooth and consistent manner and to maintain financial stability in the longer term.

    On the basis of these principles, FSB is supporting international cooperation and coordination on the COVID-19 response in three ways. First, FSB is regularly sharing information among financial authorities on evolving financial stability threats on the policy measures that financial authorities are taking, or are considering, and on the effects of those policies. Second, FSB is assessing potential vulnerabilities, in an effort to better understand the impact of COVID-19 on financial markets in individual jurisdictions and across the globe and to inform discussions of policy issues. Third, FSB members are coordinating on their responses to policy issues and this includes the measures that standard-setting bodies and national authorities take to provide flexibility within international standards or reduce operational burdens.

     

    Related Links

    Keywords: International, Banking, Insurance, Securities, COVID-19, Financial Stability, Cross-Border Cooperation, Policy Response, G20, FSB

    Related Articles
    News

    BCBS Amends Guidelines on Sound Management of AML/CFT Risks

    BCBS amended the guidelines on sound management of risks related to money laundering and financing of terrorism (ML/FT).

    July 02, 2020 WebPage Regulatory News
    News

    US Agencies Finalize Amendments to Swap Margin Rule

    US Agencies (Farm Credit Administration, FDIC, FED, FHFA, and OCC) finalized changes to the swap margin rule to facilitate implementation of prudent risk management strategies at banks and other entities with significant swap activities.

    July 01, 2020 WebPage Regulatory News
    News

    PRA Letter Sets Expectations on Approach to Managing Climate Risks

    PRA published a letter that builds on the expectations set out in the supervisory statement (SS3/19) on enhancing banks' and insurers' approaches to managing the financial risks from climate change.

    July 01, 2020 WebPage Regulatory News
    News

    EBA Guidelines on Treatment of Structural Foreign Exchange Under CRR

    EBA finalized the guidelines on treatment of structural foreign-exchange (FX) positions under Article 352(2) of the Capital Requirements Regulation (CRR).

    July 01, 2020 WebPage Regulatory News
    News

    FSB Issues Statement on Impact of COVID-19 Crisis on Benchmark Reform

    FSB published a statement on the impact of COVID-19 pandemic on global benchmark transition.

    July 01, 2020 WebPage Regulatory News
    News

    IAIS Publishes List of Internationally Active Insurance Groups

    IAIS published the list of Internationally Active Insurance Groups (IAIGs) publicly disclosed by group-wide supervisors.

    July 01, 2020 WebPage Regulatory News
    News

    FED Temporarily Revises FR Y-9C With Respect to PPPLF and CARES Act

    FED has temporarily revised the reporting form on consolidated financial statements for holding companies (FR Y-9C; OMB No. 7100-0128).

    July 01, 2020 WebPage Regulatory News
    News

    EC Launches Consultation on Review of Solvency II Directive

    EC launched a consultation on the review of the key elements of Solvency II Directive, with the comment period ending on October 21, 2020.

    July 01, 2020 WebPage Regulatory News
    News

    ECB Consults on Supervisory Approach to Consolidation in Banking

    ECB launched a consultation on the guide that sets out supervisory approach to consolidation projects in the banking sector.

    July 01, 2020 WebPage Regulatory News
    News

    IAIS on Package for 2020 Data Collection on ICS and Aggregation Method

    IAIS published technical specifications, questionnaires, and templates for 2020 Insurance Capital Standard (ICS) and Aggregation Method data collections.

    June 30, 2020 WebPage Regulatory News
    RESULTS 1 - 10 OF 5425