FSB Publishes Update on Meeting of RCG for Americas
FSB published a summary of the meeting of its Regional Consultative Group (RCG) in Americas. The key topics of discussion included deliverables for the June G20 meeting in Japan, work to be done by the RCG’s working group on non-bank financial intermediation (NBFI), decline in correspondent banking relationships, feedback on the FSB consultation on the evaluation of regulatory reforms, and enhancement of the way that the RCGs provide feedback to FSB. The FSB Chair Randal K. Quarles also joined this meeting, which took place in Buenos Aires.
The following are the key highlights of the discussion:
- The group received an update on the FSB work program and the deliverables for the June G20 meetings in Japan. The FSB work program for 2019 is focused on new and emerging vulnerabilities and how they may be addressed.
- They received an update on the RCG’s working group on non-bank financial intermediation (NBFI), discussed the outcomes of the last meeting of the working group (held on March 19, 2019), and the future work to be undertaken by the working group.
- The RCG group also discussed global and regional financial market developments and vulnerabilities, their potential impact on the economies in the region, and possible policy responses. The group was briefed on the recent FSB assessment of global vulnerabilities, which stem from loosening in lending standards, elevated asset values, and high private and public debt.
- The members further discussed the ongoing work on market fragmentation. They discussed the draft report on potential issues around market fragmentation and approaches to address these issues.
- The group then discussed progress in implementation of the FSB-coordinated action plan to assess and address the decline in correspondent banking relationships and follow-up to the associated recommendations to address remittance service providers’ access to banking services. They emphasized the importance of this issue for many countries in the region.
- They provided feedback on the FSB’s draft consultation report on its evaluation of the effects of the post-crisis financial regulatory reforms on financing for small and medium-size enterprises (SMEs), which will be published in the coming weeks.
- Finally, the meeting provided an opportunity for the FSB Chair Quarles to hear suggestions from members on how to enhance the ways that the RCGs provide feedback to FSB.
Related Link: Meeting Update
Keywords: International, Americas, Banking, NBFI, Financial Stability, RCG, Regulatory Reform, FSB
Previous Article
EC Vice President Speaks on Banking and Capital Markets UnionsRelated Articles
BIS and Central Banks Experiment with GenAI to Assess Climate Risks
A recent report from the Bank for International Settlements (BIS) Innovation Hub details Project Gaia, a collaboration between the BIS Innovation Hub Eurosystem Center and certain central banks in Europe
Nearly 25% G-SIBs Commit to Adopting TNFD Nature-Related Disclosures
Nature-related risks are increasing in severity and frequency, affecting businesses, capital providers, financial systems, and economies.
Singapore to Mandate Climate Disclosures from FY2025
Singapore recently took a significant step toward turning climate ambition into action, with the introduction of mandatory climate-related disclosures for listed and large non-listed companies
SEC Finalizes Climate-Related Disclosures Rule
The U.S. Securities and Exchange Commission (SEC) has finalized the long-awaited rule that mandates climate-related disclosures for domestic and foreign publicly listed companies in the U.S.
EBA Proposes Standards Related to Standardized Credit Risk Approach
The European Banking Authority (EBA) has been taking significant steps toward implementing the Basel III framework and strengthening the regulatory framework for credit institutions in the EU
US Regulators Release Stress Test Scenarios for Banks
The U.S. regulators recently released baseline and severely adverse scenarios, along with other details, for stress testing the banks in 2024. The relevant U.S. banking regulators are the Federal Reserve Bank (FED), the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC).
Asian Governments Aim for Interoperability in AI Governance Frameworks
The regulatory landscape for artificial intelligence (AI), including the generative kind, is evolving rapidly, with governments and regulators aiming to address the challenges and opportunities presented by this transformative technology.
EBA Proposes Operational Risk Standards Under Final Basel III Package
The European Union (EU) has been working on the final elements of Basel III standards, with endorsement of the Banking Package and the publication of the European Banking Authority (EBA) roadmap on Basel III implementation in December 2023.
EFRAG Proposes XBRL Taxonomy and Standard for Listed SMEs Under ESRS
The European Financial Reporting Advisory Group (EFRAG), which plays a crucial role in shaping corporate reporting standards in European Union (EU), is seeking comments, until May 21, 2024, on the Exposure Draft ESRS for listed SMEs.
ECB to Expand Climate Change Work in 2024-2025
Banking regulators worldwide are increasingly focusing on addressing, monitoring, and supervising the institutions' exposure to climate and environmental risks.