Capital Regulation

The FSB is seeking feedback on observed trends and drivers in SME financing, and whether regulatory reforms such as Basel III have affected financing to SMEs.

The central bank has changed its risk weighting norms for bank exposures to NBFCs, making it more costly to lend to those that are rated poorly.

For-profit CCPs have incentives that are misaligned with financial stability, typically holding less capital and requiring less from clearing members than is optimal, says a BIS working paper.

Allahabad Bank and Corporation Bank have been released from PCA restrictions following the government's capital infusion last week; Dhanlaxmi Bank was found not in breach of any PCA risk thresholds.

Singapore's three largest banks will face greater asset risks and stagnation of net interest margins in 2019, making it a difficult year ahead for profitability, according to Moody's Investors Service.

Among other findings, the report notes the need for additional investment in data and analytical tools to strengthen prudential supervision and systemic risk oversight.

To boost credit growth, the Central Bank of Sri Lanka has cut the statutory reserve ratio for commercial banks from 6 to 5 percent, starting in March.

The Indian government has approved capital infusions into 12 public sector banks amounting to $6.8bn as part of its bank recapitalisation plan.

The central bank bills swap will allow banks to temporarily exchange perpetual bonds for central bank bills for one year, at a rate of 0.25 percent.

The central bank proposes to halve reserve requirements for banks that assist it in restructuring ailing credit institutions.