Regulation
Asean report maps road to financial integration
Key to achieving an Asean Economic Community will be capital account and financial services liberalisation; member states should integrate at their own pace, to avoid EMU-style crises
UK enters new regulatory landscape
UK’s new conduct and prudential regulators take over from the FSA and aim to avoid the failings of their predecessor
Portugal must strengthen institutions to attract foreign direct investment - working paper
Bank of Portugal researchers call for a focus on corruption and strengthening the independence of the financial system to increase attractiveness for FDI
Asia corporates unfairly ‘penalised’ by CVA capital charge
The move by European authorities to exempt European banks from holding CVA capital should be matched by regulators in Asia, according to senior bankers in the region
UK FSA finalises Libor regulations
Financial Services Authority produces final rules for regulating benchmarks, days before it will cease to exist; regulated firms will undergo compliance review by new watchdog in coming year
US banks and regulators both failed on Basel II parallel runs, says Fed official
Failure to exit Basel II parallel runs represents a 'black eye' for US financial sector, says Federal Reserve Bank of Richmond unit head
Depositors will trust EU guarantee despite Cyprus, says Banque de France official
Policy-makers have incentive to accelerate deposit guarantee plans, says Sylvie Matherat of the Banque de France
Bangladesh Bank governor says micro-finance regulation must tread fine line
Atiur Rahman says supervisors must strike a difficult balance between encouraging over-indebtedness and damaging financial inclusion when regulating micro-finance
BIS finds Singapore compliant with Basel III
Consistency assessment finds Singapore compliant in 12 areas and ‘largely compliant’ in remaining two; report notes 46 deviations were initially identified, but many were addressed during the review
Goodhart argues bail-outs are better than bail-ins
LSE panel highlights unintended consequences of new regulation, in areas including bail-ins, capital requirements and banking separation; Charles Goodhart says investors will not buy bail-inable debt
De Larosière slams US protectionism and EU Solvency II rules
Former IMF and Banque de France chief Jacques de Larosière says the introduction of a swathe of new regulations in Europe – by contrast to the US – may jeopardise the continent’s growth
UK FSA admits response to Libor lowballing was too slow
Internal audit concludes Financial Services Authority should have moved faster, broadened its focus and been more ‘inquiring and challenging' about Libor fixing
NY Fed paper says monitoring is essential to fix Dodd-Frank’s ‘significant limitations’
A growth in shadow banking is one risk from the Dodd-Frank Act that must be addressed by broad and forward-looking monitoring, a staff report says
European legislators agree sweeping rules for banking sector reform
European Parliament and Commission agree CRD IV package to tighten capital rules, increase bank transparency and curb bankers' bonuses
UK regulators back tough action on banking sector competition
FSA and FCA chiefs say new regulators will try to reduce banking sector concentration, including potentially breaking up large banks; Wheatley warns PRA and FCA may not see eye-to-eye on the matter
Osborne quizzed over banking commission recommendations
UK chancellor questioned by parliamentary commission for omitting recommendations on capital rules and full retail banking separation in new banking legislation
EBA stakeholder group chair to quit
Sony Kapoor quits role heading banking stakeholder group at European Banking Authority; new group to be selected in September this year
US politicians plot national impact study for Basel III
Basel III could face more delays in the US as legislators press for a national impact study
EU Parliament poised to reject two Esma technical standards on OTC derivatives
Parliament is unhappy with the treatment of corporate end-users, and could require Esma to redraft standards
Bank of Finland researchers examine role of liquidity creation in bank failures
Experience of Russia from 2000–07 suggests early identification of excessive liquidity creators can 'mitigate systemic distress'
Irish deputy lays out arguments for banking union and SSM
Gerlach says while monetary policy and bank supervisory bodies should be separate, siting them together can bring benefits
MAS sets out FMI supervisory framework
Monograph gives details of Monetary Authority’s approach to regulating financial market infrastructures in line with CPSS-Iosco principles
Asia needs bigger voice in international financial rule-making, say regulators
Regulators from Malaysia, Dubai and Australia call for more countries in the region to take a stronger role in shaping the global agenda
Basel eases final LCR rules but struggles with NSFR
Group of Governors and Heads of Supervision endorses relaxed phase-in rules for final liquidity coverage ratio but the proposed net stable funding ratio looks set to present further problems