Prudential Risk

Capital Adequacy

BCBS, FSB Support Use of Capital, Liquidity Buffers to Maintain Stability

By Editors | 22/03/2020

Using capital resources to support the real economy and absorb losses should take priority over discretionary distributions. HQLA stocks should be used to meet liquidity demands.

Credit Risk

Bank Indonesia Cuts Rates Again, OJK Demands Leniency for Borrowers

By Editors | 22/03/2020

Banks have also been told not to use debt collectors during the Covid-19 pandemic, and to instead help customers by restructuring existing debt and granting new subsidised loans.

Liquidity Risk

HK, Singapore, Indonesia Assessed as NSFR, LEX Compliant

By Editors | 22/03/2020

Hong Kong, Singapore and Indonesia were assessed as compliant with global standards for the net stable funding ratio and large exposures framework.

Conduct, Culture & Accountability

Now More than Ever: The Need for Reliable Conduct Risk Metrics

By Stephen Scott | 20/03/2020

The demands being imposed on the global banking system highlight the Achilles Heel of nonfinancial risk management and, particularly, misconduct risk, says Stephen Scott at Starling.

Credit Risk

FSC Korea Authorises KODIT to Develop New Credit Scoring System

By Editors | 20/03/2020

The new system will use non-financial and transaction information of SMEs and small merchants to generate credit scores, improving their ability to obtain financing and credit guarantees.

Operational Risk

APRA, RBA Ask Financial Firms to Continue Parallel Reporting of EFS data

By Editors | 20/03/2020

The agencies explain that they wish to ensure a consistent data source for March and June 2020, in order to capture the impact of the coronavirus.

Trading & Investment

Taiwan Authorises Intervention by National Stabilisation Fund

By Editors | 20/03/2020

The central bank has also cut its policy rates and expanded lending facilities for banks to allow them to support SMEs impacted by the coronavirus.

Liquidity Risk

ECB Launches €750b Emergency Asset Purchase Programme

By Editors | 20/03/2020

The ‘Pandemic Emergency Purchase Programme’ will include purchases of public and private securities, including non-financial commercial paper and Greek sovereign bonds, until end-2020.

Credit Risk

Australian Banks Announce Small Business, Home Loan Relief

By Editors | 20/03/2020

Australia’s big four banks have each announced reductions in their lending rates, as well as the availability of deferrals of small business and home loan repayments.