BCBS 2022 Work Programme
In February 2022 Pablo Hernandez de Cos, Chair of the BCBS, set out the details of the work programme for the BCBS for 2022 in a speech to a high-level seminar. With regards Basel requirements he stressed the need to ensure that these were fully implemented as soon as possible. Achieving this would help strengthen the banking system, support economic growth and allow regulators more time to assess, and address, emerging risks. How this is progressing will continue to be monitored via regular RCAP reports.
Aside from Basel implementation the BCBS will focus on:
Covid-19 and recovery – the focus will be on ensuring that banks ”.. remain resilient and contribute to the recovery ..” despite the ongoing challenges presented by Covid-19 despite recent events that have seen increased volatility in asset prices, rising inflation, interest rates and commodity prices as well as supply chain disruptions;
Emerging risks and structural trends – horizon scanning continues to be used to identify and monitor emerging risks and structural trends such as the digitisation of finance (Fintech), developments with regards cryptoassets as well as climate related risks;
Supervisory coordination and practices – work is underway to strengthening supervisory coordination and practices particularly with regards the operational resilience of banks, including enhancing their cyber security, digitisation of finance and the growth in NBFI finance (also known as shadow banking).
It was indicated each of these topics would lead to the publication of consultation/discussion papers and/or new/updated requirements/principles as well as a focus on implementing recently issue ones, such as the revised principles for operational risk issued in March 2021.
See section 12.3 for details of the principles for operational risk management and operational resilience, Chapters 21 and 28 for coverage of the progress on implementation and RCAP and Chapter 29 for NBFI/shadow banking and future trends. See also the Postscript regarding Covid-19.