FSB Publishes Summary of Plenary Meeting in Paris

The following are the key highlights and conclusions of the meeting:

• FSB plans to publish, by the end of the year, a report that assesses vulnerabilities associated with leveraged loans and collateralized loan obligations (CLOs).
• Members reviewed progress on the development of a new surveillance framework and discussed the key parameters of the new framework, which FSB plans to complete in mid-2020.
• FSB will publish a consultative report on regulatory issues of stablecoins in April 2020.
• Members discussed the ongoing work on market developments and potential financial stability implications from the entry of bigtech firms into finance and from third-party dependencies in cloud services. FSB will publish initial reports on these key topics in the coming weeks.
• The Plenary welcomed the completion of the final version of the holistic framework for assessment and mitigation of systemic risk in the insurance sector, which IAIS will publish next week, following an earlier stakeholder consultation. 
• FSB work program for 2020 will be published toward the end of 2019 and the priorities of the work program include addressing new and emerging vulnerabilities in the financial system, harnessing the benefits of financial innovation while containing risks, finalizing and operationalizing post-crisis reforms, and monitoring the implementation and evaluating the effects of the reforms. 

Related Link: Press Release

Keywords: International, Banking, Insurance, Fintech, Collateralized Loan Obligations, Financial Stability, Systemic Risk, Work Program, IAIS, FSB