Prudential Risk

Market Risk

BOJ Faces Calls to Slow Bond Taper Amid Rising Yields

By Mark Johnston | 03/06/2026

A summary of investor opinions and recent market volatility are increasing pressure on BOJ to consider a more gradual approach to quantitative tightening.

Stablecoins

'Usable' Buffers are Key to Stablecoin Regulation, Says BIS Paper

By Manesh Samtani | 03/06/2026

New research suggests strict minimum liquidity and capital requirements for stablecoin issuers can backfire, recommending instead ‘usable’ buffers that can be breached in stress.

Emerging Prudential Risks

China Appoints Veteran Executive to Lead Key Financial Regulator

By Editors | 03/06/2026

Ding Xiangqun, a former insurance chief, takes over the NFRA amid a leadership shuffle and ongoing efforts to manage financial risks.

Operational Risk

Korea FSS Sanctions Hanwha Life Over Major IT Failures

By Editors | 02/06/2026

The insurer has been fined and issued a warning for system outages, financial errors, and reporting lapses linked to a new platform rollout.

Credit Risk

IMF Urges Hong Kong to Bolster Oversight of Property and NBFI Risks

By Manesh Samtani | 02/06/2026

The report calls for sustained vigilance over CRE exposures, enhanced system-wide stress testing, and stronger climate risk integration for FIs.

Capital Adequacy

Hong Kong SFC Fines XHK for Violating Capital and Client Money Rules

By Editors | 02/06/2026

The Hong Kong broker was penalised for significant breaches of liquid capital requirements and client money rules following a self-initiated report.

Emerging Prudential Risks

China Accelerates Major Financial Legislation to Bolster Stability

By Mark Johnston | 02/06/2026

Beijing is fast-tracking four key laws, including a new Financial Law and a Financial Stability Law, to overhaul its regulatory architecture and strengthen risk management.

Emerging Prudential Risks

FSB Flags AI and Geopolitical Conflict as New Financial Stability Risks

By Editors | 02/06/2026

The FSB has warned of new vulnerabilities, including from frontier AI models, alongside persistent risks in sovereign debt and private credit markets.

Operational Risk

HKMA Directs Banks to 'Sustain and Uplift' Operational Resilience

By Sanday Chongo Kabange | 02/06/2026

The regulator has outlined its expectations for firms to treat operational resilience as ‘business as usual’ following a multi-year implementation phase.