Prudential Risk

Trading & Investment

CSRC Revises Rules on Corporate Bond Issuance, Ratings

By Editors | 04/03/2021

Companies will no longer be required to engage a rating agency and obtain a credit rating before they issue bonds for sale on the public market.

Operational Risk

BNM Revises Guidance on Operational Risk Reporting

By Editors | 03/03/2021

The revisions enhance the granularity of reporting requirements and align definitions with the FSB’s cyber lexicon.

Emerging Prudential Risks

RBNZ Policymaking Remit to Include Housing Price Sustainability

By Ranamita Chakraborty | 02/03/2021

The RBNZ will likely use prudential tools such as the LTV limits, bank stress testing, and capital requirements to deter certain types of mortgage lending.

Operational Risk

MAS, ABS Offer Guidance on Managing Remote Working Risks

By Manesh Samtani | 02/03/2021

The paper looks at possible risks to FIs in the areas of operations, technology, information security, fraud, staff misconduct, among others.

Resolution & Recovery

CBIRC Issues Draft Rules on Recovery and Resolution Plans

By Editors | 02/03/2021

Deposit-taking institutions, asset managers and financial leasing companies with CNY 300 billion in total assets have to formulate recovery and resolution plans.

Climate Risk

BOJ, FSA to Analysis Climate Impacts on Banks This Year

By Editors | 02/03/2021

The BOJ will reportedly work with the FSA to analyse the impact of climate risks on banks in this year’s examinations.

Operational Risk

FSA to Seek Report from Mizuho Over ATM Network Shutdown

By Editors | 02/03/2021

A system glitch caused the shutdown of over half of Mizuho’s ATMs on Sunday, with internet banking transactions also partially halted.

Credit Risk

Covid Bankruptcies Could Result in $1tr in Credit Losses: BIS

By Manesh Samtani | 01/03/2021

Corporate bankruptcies are expected to rise as credit support measures are wound back, some sectors downsize, and firms run out of liquidity buffers.

Credit Risk

Bangladesh Bank Revises Credit Risk Rating System

By Sanday Chongo Kabange | 01/03/2021

Bangladesh Bank has directed lenders to consider either 2019 or 2020 audited financial statements when determining borrowers’ credit risk ratings for 2021.