Financial Stability
ECB paper models ‘state-dependent’ impact of capital ratios
Model simulates ratio changes’ effects on credit supply in different macro-financial conditions
FSB unveils crypto regulation framework
Recommendations were toughened to reflect failure of FTX and terraUSD/luna stablecoin
Hong Kong proposes raising deposit insurance
Proposed change will bring the ratio of depositors being covered to 92%, regulator says
Collateral use could destabilise markets, BIS economists warn
Borio and co-authors highlight “seismic shift” in markets and call for action by policy-makers
US regulators fine Bank of America $150 million
BoA pays out nine-figure penalties for consumer malpractice for second year in a row
Book notes: O Governador, by Luis Rosa
Documents Carlos Costa’s clashes with Portugal’s elite during the eurozone sovereign debt and banking crisis
BoE stress tests find banks resilient to interest rate risk
Credit impairments drive majority of losses, but all banks pass test
Carney to co-chair World Bank investment panel
“Investment Lab” tasked with overcoming barriers to investment, including in climate finance
Larger banks need higher capital requirements, says Fed’s Barr
Changes could take years, vice-chair says, and “we need to worry, a lot, about non-bank risks”
PBoC extends relief measures for struggling developers
Developers are allowed loan repayment extensions by another full year
Chinese regulators impose fines on Ant Group and Tenpay
Regulators’ priorities have now shifted to “normalised supervision” of platform companies
Is corporate pricing causing ‘greedflation’?
Firms in US and Europe are driving inflation higher by imposing above-cost mark-ups, researchers say
US pandemic savings depleted by Q1 2023, says Fed research
Other advanced economies should expect pandemic-era savings to deplete within the year
ECB supports European Commission’s banking plan
Central bank calls for eurozone-wide guarantee scheme and more funds for resolution
Basel Committee overhauls supervision guidance
Key updates cover supervision of risks related to interest rate, operations and climate
Philippines central bank examines impact of temperature shocks
BSP is also working with World Bank to stress test local banks’ exposures to transition risk
Ukraine’s governor on central banking in wartime
Andriy Pyshnyy talks about macroeconomic stability, running banks under missile attack, winning IMF aid and post-war reconstruction plans
US banks question stress-test discrepancies
Bank of America and Citigroup open talks with Fed about differing results
Researchers examine Covid-19’s impact on eurozone lending
Pandemic changed banks’ lending but did not lead to widespread cut in collateral values, paper finds
FSB and Iosco renew push to tackle liquidity mismatch
Many opened-ended funds failing to use liquidity management tools effectively, say global regulators
PBoC eyes further opening of onshore repo for foreign investors
Chinese central bank gives first official signal it is looking at Swap Connect-style scheme for repo
ECB expresses concern over draft Belgian laws
Minimum saving account rates could harm financial stability and policy transmission
Largest US banks pass the Fed’s stress test
Scenario saw banks continue lending despite losses three times greater than those of 2008 crisis