A new working paper published by the International Monetary Fund argues that there remains a divergence between market assessments of risk and regulatory assessments of risk.

The European Securities and Markets Authority has suggested that European Commission proposals for reforming credit rating agencies may have a detrimental effect on the quality of the rating process and the reliability of ratings themselves.

A new working paper published by the International Monetary Fund indicates that Australia’s conservative approach to the implementation of Basel II has resulted in high quality capital at good levels, suggesting that they are well-positioned to meet the Basel III standards on both capital and liquid

The International Monetary Fund has argued in a new working paper that credit rating agencies do not just lag the market, but actually influence the market.

The Bank for International Settlements has argued that macroeconomic stress tests which assess the financial system as a whole are ill-suited as early warning devices.

The European Central Bank argues that despite an objective of hedging being to share risk, the effect can in fact be an increase in risk-taking, as negative news about the hedge creates an incentive problem for the seller.

The International Monetary Fund has released a report which notes that liquidity stress tests are less developed than solvency stress tests, and sets out to create a platform for assessing banks’ liquidity positions.

The Basel Committee on Banking Supervision have stated that the Liquidity Coverage Ratio is to be introduced as a minimum standard in 2015, in line with the original implementation plans.

Reuters reports that China will put new capital adequacy rules on hold, citing concerns about the impact on economic growth.

The Basel Committee on Banking Supervision has released a consultation paper which sets out their approach to addressing the Basel III credit risk adjustment requirements.