Following the Brisbane Summit in November, the G20 leaders published a communiqué that addressed many global economic issues. We set out below the following points of regulatory interest from Section 12:
- The leaders have fulfilled the core commitments made in response to the financial crisis; the focus is now to develop a stronger, more resilient financial system which is risk-aware. They now need to finalise the remaining parts of the policy framework and implement the agreed financial regulatory reforms.
- The leaders welcome the FSB’s proposals to protect taxpayers if banks fail, by holding additional loss-absorbing capacity.
- They support the FSB’s plans to report on the implementation and effects of the reforms and they encourage jurisdictions to defer to each other and maintain an open global financial system.
Should you require any further advice or information on the above, Cleveland & Co, your external in-house counsel, are here to help.