Bank of Japan

ESG / Sustainability

Japan FSA to Issue Climate Risk Guidelines for Banks

By Ranamita Chakraborty | 29/04/2021

Financial institutions will be expected to incentivise borrowers to decarbonise through loan terms and preferential interest rates.

Securities / Derivatives

Bank Losses from Archegos Collapse to Exceed $10bn

By Sanday Chongo Kabange | 29/04/2021

New disclosures from UBS and Nomura have raised estimates of the total losses to banks to over $10.5bn.

Big Picture

BOJ Warns of Post Covid Risks to Financial Stability

By Sanday Chongo Kabange | 21/04/2021

Even after the pandemic subsides, low interest rates will continue to exert downward pressure on FIs’ profits, the BOJ says.

Market Infrastructure

Japan Sets End Date for New JPY LIBOR Interest Rate Swaps

By Manesh Samtani | 20/04/2021

New interest rate swaps referencing JPY LIBOR and maturing after the end of 2021 should cease by end-September 2021.

Enforcement

Nomura Establishes Internal Team to Probe Archegos Loss

By Sanday Chongo Kabange | 13/04/2021

Nomura has set up the team to look into the bank’s risk management practices. It plans to disclose details of Archegos loss in late April.

Crypto / Digital Assets

BNM to Explore Benefits of CBDC Issuance Through PoCs

By Sanday Chongo Kabange | 07/04/2021

BNM does not have any immediate plans to issue a CBDC but will actively assess the potential value proposition of digital currencies.

Fintech / Regtech

Japan Starts Testing Central Bank Digital Currency

By Sanday Chongo Kabange | 07/04/2021

The first phase of testing will involve experiments on the basic functions of the CBDC as a payment instrument.

Market Infrastructure

Japan to Start Publishing TORF Production Rates from 26 April

By Editors | 07/04/2021

QUICK Benchmarks, formed in January 2021, has been publishing TORF prototype rates weekly since May 2020 and daily since October 2020.

Enforcement

US SEC Opens Preliminary Investigation into Archegos Collapse

By Manesh Samtani | 06/04/2021

Credit Suisse expects a $4.7bn loss from the collapse of Archegos. The bank has suspended share buybacks, cut its dividend, and announced the departure of seven key executives.