SRB and JFSA agreed to cooperate on resolution planning for banks, through an exchange of letters. The exchange of letters will provide a basis for effective cooperation for cross-border resolution planning and implementation. The letters were signed in the inaugural meeting of the Joint EU-Japan financial regulatory forum on October 11, 2019, in Tokyo. The authorities also issued a joint statement on the inaugural meeting of the Joint EU-Japan financial regulatory forum. The next forum meeting is foreseen to take place in Brussels in 2020.
Through the agreement to cooperate on resolution planning for banks, JFSA and SRB confirmed their commitment to strengthen cross-border resolvability by enhancing communication and cooperation and to work together in planning and conducting orderly cross-border resolutions. The goal is to facilitate the resolution of banks in the respective jurisdictions while maintaining financial stability in Japan and EU.
The Joint EU-Japan financial regulatory forum was chaired by Mr. Ryozo Himino, Vice Minister for International Affairs of JFSA and by Mr. Olivier Guersent, Director-General at the EC's Directorate-General for Financial Stability, Financial Services and Capital Markets Union. Also joining the forum were the Bank of Japan, ECB, EBA, ESMA, and SRB. The Joint EU-Japan meeting provided an important opportunity for both sides to exchange views on the recent regulatory and supervisory developments in the financial sector at the international level and in their respective jurisdictions. The participants discussed the progress and way forward to strengthen their bilateral cooperation and the possibility of coordination in international fora such as the G20 and FSB. In addition, JFSA and EU participants discussed the EU equivalence and the Japanese deference frameworks, including possible enhancements in information exchange between both jurisdictions. They briefed each other on the recent developments in the financial sector in the EU and in Japan, mainly in the banking sector and capital markets. Discussions also involved: The participants also discussed the following:
- State of the implementation of Basel III reforms
- Achievements of the outgoing EC in the area of financial services policy
- Benefits and challenges represented by the development of fintech, including issues related to cyber-security and stablecoins
- Respective initiatives in the field of sustainable finance, with EU and Japan re-iterating their commitment to strengthen cooperation, to share experiences, and to promote ways to support deployment of private capital toward sustainable investments globally
Keywords: Europe, EU, Japan, Banking, Securities, Basel III, Fintech, Sustainable Finance, Cyber Risk, Resolution Planning, JFSA, SRB
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