Market Infrastructure

BCBS, IOSCO Agree One-year Phased Extension of Initial Margin Rules

23/07/2019

Initial margin requirements for firms with uncleared derivatives exceeding $8bn have been extended to September 2021; firms exceeding a $50bn threshold will have to comply in September 2020.

Capital / Liquidity

RBI Urges Better Risk Monitoring, Faster NPA Resolution at State Banks

23/07/2019

RBI governor Shaktikanta Das asked state-owned banks to speed up bad debt recovery efforts, strengthen internal controls and risk monitoring, and help fix the ongoing NBFC liquidity crisis.

Market Infrastructure

Australia to Re-Introduce Open Banking Legislation This Week

23/07/2019

The Australian Banking Association welcomes the re-introduction of the legislation, following a lapse earlier this year when the federal parliament was dissolved.

Enforcement

Hong Kong ICAC Charges Five More Individuals in Convoy Case

23/07/2019

Six individuals are now charged with conspiracy to defraud the Hong Kong stock exchange and the board of directors, shareholders and investors of Convoy.

Securities / Derivatives

China Kicks Off Trading in New SSE STAR Market

23/07/2019

The first batch of 25 stocks raised over $5.4bn and ended the day higher by an average of 140% from their IPO prices, with some rising as much as 520% during the session.

Capital / Liquidity

China Simplifies Issuance of Preferred Shares for Smaller Banks

23/07/2019

The revised guidance makes it easier for non-listed banks to replenish Tier 1 capital through the issuance of preferred shares. To date, only listed banks have issued such instruments.

Securities / Derivatives

FSB Adjusts Timelines to Implement Recommended SFT Haircuts

22/07/2019

The FSB has adjusted the implementation timelines for its framework recommendations for haircuts on certain non-centrally cleared securities financing transactions to align with Basel III.

Enforcement

China Bank Branch Head Commits Suicide Amid Corruption Probe

22/07/2019

China Development Bank’s Shandong branch head, Zhong Xiaolong, was reportedly being probed in connection with illegal loan guarantees made by the bank’s Jilin branch, where he was a former deputy head.

AML / KYC

Whistleblowers Allege SCB Cleared $57bn in Iran Transactions

22/07/2019

Whistleblowers reportedly claim that Standard Chartered Bank cleared more transactions in violation of Iran sanctions than the US government had used as its basis for fines issued in April.