BIS annual G-SIBs assessment

The Basel Committee met recently to take stock of Covid-19 risks to the global banking system and related vulnerabilities, and to discuss a range of policy and supervisory initiatives. According to the BIS, the outlook for global financial stability continues to be uncertain. Factors that could heighten risks to the banking system include the trajectory of Covid-19 infections and containment measures, a protracted recovery period, and the unwinding and expiration of support measures. And the banking system's operational resilience will continue to be tested in light of the increase in remote working and banks' reliance on technology and third-party service providers. In addition to discussing the Covid-19 crisis, the Committee approved the results of the annual assessment exercise for G-SIBs. The results will be submitted to the FSB before it publishes the 2020 list of G-SIBs.

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