Financial Stability
FDIC’s McKernan wants single capital stack in Basel III endgame
Rebuffing Barr’s offer of a partial rollback, Republican director also targets op risk framework
Ethiopian central bank allocates $175 million for fuel payments
Decision follows awarding of licences for currency exchange to non-bank FX bureaus
Lessons learned on macro-pru policies
Macro-prudential tools are proving their worth although use cases vary by country; integration into over-arching policy frameworks remains a challenge
Climate stress tests are cold comfort for banks
Flaws in regulators’ methodology for gauging financial impact of climate change undermine transition efforts, argues modelling expert
ECB official open to offering liquidity aid to non-banks
Deputy director doesn’t rule out copying UK plan to extend repo facility to pension funds and life insurers
Geopolitics and cyber security remain top systemic risks – BoE
Respondents less worried about UK stability, but international tensions a growing concern
Disinflation in Turkey slows in September
Rate cuts appear less likely as CPI inflation remains at 49%
Basel III endgame adoption more than doubles
Annual monitoring exercise shows progress, but US and some emerging markets lag behind
BoE will need to closely monitor shift to T+1 if it is to succeed – report
UK will move to accelerated settlement by 2027, even if rest of Europe has yet to align
Rate markets had lucky escape from August stock crash, says BoE
FPC minutes suggest spillover might have occurred were it not for positive macroeconomic news
Fed relief plan for G-Sib agency clearing welcomed
Rollback may revive interest in European FCM model, as principal clearing still treated punitively
RBNZ looks into promoting competition among banks
Central bank mulls greater access to its interbank payments system and changes to capital rules
‘Unpredictable’ risk driven by AI, geopolitics – Lagarde, Buch, Rehn
European supervisors call for caution – and more authority – at ESRB annual conference
IMF board approves funding to Pakistan
Institution disburses around $1bn in first instalment of extended facility
Fed’s new liquidity rule spells more pain for US regional banks
Limit on HTM assets follows move to deduct unrealised losses from capital buffers
Yellen highlights systemic risks from rise in non-bank lending
Treasury secretary says institutions’ share of credit now exceeds that of banks
Banks should account for Fed facilities in stress tests – Barr
Vice-chair says doing so would help alleviate stigma over using discount window
Energy data is ‘must-have’ for managing credit risk – Elderson
ECB board member calls for real data from energy efficiency certificates instead of proxies
‘The time to prepare is now’ – G7 probes quantum computing risks
Malicious actors may have quantum computers within a decade, expert group says
Clearer guidelines needed for crisis co-operation – FSI report
BIS institute publishes findings from exercise simulating bank failure in Latin America
Nuclear industry says World Bank should resume financing
Industry bodies say Institution should allow nuclear projects to fall under “green bond” taxonomy
Nigeria raises key interest rate to historical high
Rate now stands at 27.25%, despite slight drop in headline inflation last month
Bank of Israel extends credit benefits for war-affected citizens
Three-month extension follows escalation of conflict with Hezbollah