Page 3 - Basel Framework News Today

On November 16, 2021, the Bank for International Settlements (BIS) released a Consultative Document on proposed principles for the effective management and supervision of climate-related financial risks.

© Nicolas Economou/NurPhoto via Getty Images Banks holding cryptocurrencies may have to set aside much higher levels of capital to reflect the growing risks of holding them, global regulators said this week.  The report called crypto assets an “immature asset class” that pose several major risks to banks, including credit risk; market risk; operational risk (including fraud and cyber risks); money laundering and terrorist financing risk; and legal and reputation risks. What is the Basel ...

Bitcoin part of highest risk category in Basels new bank capital plan The Basel Committee on Banking Supervision proposed tough requirements for banks that want to hold cryptocurrencies such as Bitcoin. 8484 Total views News The Basel Committee on Banking Supervision (BCBS), a global committee of banking supervisors and central banks, has proposed new requirements for banks that want to hold cryptocurrencies such as Bitcoin (BTC). In a consultation paper published Thursday, the committ...

BIS: Basel Committee Consults On Prudential Treatment Of Cryptoasxposures Date 10/06/2021 Basel Committee issues public consultation on preliminary proposals for the prudential treatment of banks cryptoasset exposures. The proposals split cryptoassets into two broad groups: those eligible for treatment under the existing Basel Framework with some modifications; and others, such as bitcoin, are subject to a new conservative prudential treatment. The Committee invites submissions on the prop...

The Bank for International Settlements said bitcoin is higher-risk than stablecoins due to its volatility, so tougher capital set-aside is needed.

BIS: Climate And Environmental Risks - Guide For Supervisors - Executive Summary Date   To help meet the goals of the 2015 Paris Agreement, the Network for Greening the Financial System (NGFS) aims to ensure that financial firms manage their climate-related and environmental risks. In May 2020, it published its Guide for Supervisors – Integrating climate-related and environmental risks into prudential supervision. The guides recommendations provide authorities with a roadmap to integra...

Sustainability under the spotlight for businesses today and in the future Aurel Constantin 06/05/2021 | 15:45 On 21 April 2021, the European Commission announced an ambitious and comprehensive package of measures intended to further promote sustainability, as part of the goal of making Europe climate neutral by 2050. One of the many steps outlined is a proposal for a Corporate Sustainability Reporting Directive (CSRD), the aim of which would be to improve the flow of sus...

All the way to zero: guiding banks towards a carbon-neutral Europe Keynote speech by Frank Elderson, Vice-Chair of the Supervisory Board and Member of the Executive Board of the ECB, at the conference on “The Role of Banks in Greening Our Economies” organised by the European Bank for Reconstruction and Development and Hrvatska narodna banka Frankfurt am Main, 29 April 2021 It is a great honour for me to be with you today to discuss the role of banks in greening the economy. And I am very h...

Source: European Central Bank Keynote speech by Frank Elderson, Vice-Chair of the Supervisory Board and Member of the Executive Board of the ECB, at the conference on “The Role of Banks in Greening Our Economies” organised by the European Bank for Reconstruction and Development and Hrvatska narodna banka Frankfurt am Main, 29 April 2021 It is a great honour for me to be with you today to discuss the role of banks in greening the economy. And I am very happy to delve into the topic of climat...

James Langton Climate risks can be understood as traditional financial risks, but the translation needs work, global banking regulators say. On Wednesday, the Basel Committee on Banking Supervision published a pair of reports on climate-related financial risks, which concluded that these risks can be captured in existing risk categories used by banks — credit risk, market risk, liquidity risk — but that work is required to better match climate risks to banks’ exposures, and to more accura...