13 November 2013
The Financial Stability Board (FSB) has published its policy recommendations intended to strengthen the oversight and regulation of the shadow banking system.
The policy recommendations are the culmination of almost three years' work, the FSB having been mandated by the G20 at the November 2010 Seoul Summit, in collaboration with other international standard setting bodies, to develop recommendations to strengthen the oversight and regulation of the shadow banking system. This followed the completion of the new capital standards for banks (Basel III) and reflected the G20 Leaders concern of the potential risk that regulatory gaps may emerge between the banking and shadow banking sectors. The policy recommendations will be considered by the G20 leaders at their meeting in St. Petersburg on 5/6 September 2013.
FSB publishes policy recommendations on Shadow Banking