BBA: Financial Stability Board must be ‘clear and consistent’
The British Bankers' Association has urged the Financial Stability Board to be clear and consistent in setting out the requirements for recovery plans for the systemically important financial institutions in all countries.
Responding to the consultation paper from the FSB and the Basel Committee on Banking Supervision, BBA chief executive Angela Knight said:
“The direction that the Financial Stability Board is taking is broadly right, but it doesn’t go far enough. It needs to be clear, consistent and authoritative with a clear and sufficient time frame to enable all countries to put in place measures similar to those that the UK has already taken.
“The FSB must act in the best interest of all markets and provide certainty for investors with a standard recovery and resolution plan. The full G20 also needs to sign up to the proposals but as they stand, they are not as clear as they need to be as they leave too much scope for some home regulators to potentially act in their own interests rather than in the interests of stability as a whole.”
Please read the full response via the link below.