Global Finance Regulators Study Responses To Virus' Impact

By Martin Croucher
Law360 is providing free access to its coronavirus coverage to make sure all members of the legal community have accurate information in this time of uncertainty and change. Use the form below to sign up for any of our weekly newsletters. Signing up for any of our section newsletters will opt you in to the weekly Coronavirus briefing.

Sign up for our Insurance UK newsletter

You must correct or enter the following before you can sign up:

Select more newsletters to receive for free [+] Show less [-]

Thank You!



Law360, London (May 27, 2020, 4:19 PM BST) -- Financial regulators from around the world have gathered online to review an estimated 1,600 policy responses to the financial impact of the COVID-19 pandemic, as well as to gauge potential risks in the future.

The Financial Stability Board hosted central banks, finance ministries and more than 30 banks, insurers, ratings agencies and asset managers at the meeting on Tuesday. The goal was to discuss policy interventions to control market volatility and other financial risks, and to assess what worked best.

"Participants also discussed policy issues going forward, notably how financial institutions can better cope with the challenges resulting from rising solvency risks, and exchanged views on potential areas that may warrant further policy coordination," the board's standing committee on supervisory and regulatory cooperation said in a statement.

The FSB, a global body headquartered in Switzerland, monitors developments in the international economy and promotes regulatory co-operation.

It is unclear how many countries were represented at the meeting. The FSB said in April it is in regular consultation with 70 countries over COVID-19. 

The meeting was hosted by the Basel Committee on Banking Supervision; the Committee on Payments and Market Infrastructures; the International Association of Insurance Supervisors; and the International Organization of Securities Commissions.

"The global financial system entered the crisis with much enhanced resilience and, with central bank intervention, the liquidity stress in March was largely contained," said Ryozo Himino, chair of the FSB's committee on supervisory and regulatory cooperation. "But the world still faces an unprecedented level of uncertainties."

The findings of the meeting will inform a report to a G-20 meeting scheduled for July, the FSB said.

Finance ministers and central bank governors will meet virtually on July 18 and 19, according to a schedule of events on the G-20 website.

The FSB held a similar round of private sector consultations in April, delivering a report to the G-20 finance meeting on April 15. At the time, the FSB warned the COVID-19 crisis was an "unprecedented global macroeconomic shock, pushing the global economy into a recession of uncertain magnitude and duration."

--Editing by Alyssa Miller.

For a reprint of this article, please contact reprints@law360.com.

Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Ask a question!