The Chinese government has allowed unregulated online participants to innovate and grow in a sector traditionally dominated by state banks. Systemic risk has increased by not imposing strict and comprehensive regulatory regimes.
Directly fining banks for the misdeeds of former executives has proven to be unproductive. Yet, determining personal liability for individual bank officers continues to be an elusive and difficult task.
P2P platform failures due to liquidity shortfalls have crippled a key source of retail credit for consumers and small businesses. The future of P2P lending in China. Regulators need to play a more dominant role in this growing and unruly...
Basel’s new capital rules have impacted global derivatives markets by purging participants and liquidity. Whether or not this was the intended outcome, it will create onerous costs for entire markets and consumers.
The battle for large cap tech listings between HKEX and mainland exchanges ignited over Xiaomi this week, indicating that China’s strategic goal might be to prevent home-grown, multi-billion dollar “unicorn” companies from seeking listings on any overseas markets – including...
The UK government’s Brexit white paper reveals disappointing support for London’s global role in financial regulations. London could be disintermediated as a financial centre.
With nine months to go before Britain’s scheduled exit from the EU, the effects of Brexit are largely unknown and will take years to resolve. Yet, banks and asset managers have already begun planning for the relocation of staff and...
The real cost of doing business in China was suddenly revealed with Credit Suisse’s settlements totalling $77 million with the SEC and DOJ over its alleged violations of the Foreign Corrupt Practices Act by employing Chinese princelings and princesses.
A recent IMFBlog post suggests policymakers and regulators are still unprepared to confront the stark moral and economic dilemmas in handling bank failures.
Intense geopolitical rivalries and new technologies threaten a new Cold War by enabling weaponisation of the international payment system and disruption of the international financial order.