Capital / Liquidity

RBI Defers Mandatory Pegging of Loan Rates to External Benchmarks

08/04/2019

The RBI has deferred a requirement for banks to link loan rates to external benchmarks, citing difficulties the change presents to banks’ interest rate risk management.

Fintech / Regtech

Taiwan FSC to Launch New Trading Platform for STOs

08/04/2019

In new laws expected in June, the FSC will initially allow firms to offer STOs offering interest payments as with bonds, and prohibit companies from offering equity-like tokens.

Capital / Liquidity

China’s Henan Province Has an NPL Problem – Report

08/04/2019

Of Henan’s 93 commercial banks, 42 have high levels of nonperforming loans, a dozen of which reported an NPL ratio above 20%, ‘several’ as high as 40%.

Market Infrastructure

ASEAN Pushes for Cross-Border Settlement in Local Currencies

08/04/2019

ASEAN central bankers are setting up direct settlement systems that use local currencies, in a bid to reduce transaction costs and exposures to global volatility.

Securities / Derivatives

RBI to Allow Non-Residents to Trade Interest Rate Derivatives

07/04/2019

Under draft rules, non-resident retail investors can hedge through interest rate derivatives; non-retail investors can participate for other specified purposes.

Securities / Derivatives

Over 40 IPO Applicants Accepted for Shanghai’s New Board

07/04/2019

Of the 50 listing applicants so far, 41 have been accepted and will have to through a second stage of audit and inquiry. The other 9 have been sent inquiry letters.

Securities / Derivatives

Merger Benefits Diminished Under Existing JPX-TOCOM Plan

07/04/2019

The current plan to keep crude oil and petroleum products on TOCOM will diminish the benefits of the planned merger with JPX.

Market Infrastructure

Supervisors Should Avoid Fragmenting Clearing Ecosystem – Report

07/04/2019

A report from the World Federation of Exchanges and Oliver Wyman urges supervisors to ensure outstanding CCP reforms are implemented in line with agreed principles to avoid fragmentation.

Capital / Liquidity

Sectoral CCyB May be Useful Addition to Existing Tools – BCBS Paper

05/04/2019

Sectoral CCyBs increase banking system resilience at a lower cost than the Basel III CCyB, and can serve to reduce excessive credit growth and risks in targeted segments.