Today, the Financial Stability Board hosted the fourth meeting of the FSB Regional Consultative Group for Europe under the co-chairmanship of Gaston Reinesch, Governor, Banque centrale du Luxembourg and Tom Scholar, Second Permanent Secretary, HM Treasury, United Kingdom, in Basel, Switzerland.

Members discussed the FSB's ongoing policy development work on financial regulatory reforms. They heard an update by the Secretariat of the International Association of Insurance Supervisors (IAIS) on the work to extend the Global Systemically Important Financial Institution (G-SIFI) framework to the insurance sector. They discussed recovery and resolution planning for banks, and the approaches envisaged for the G-SIFIs in Europe.

Members also shared experiences in implementing the FSB's principles for reducing reliance on credit rating agency (CRA) ratings, including measures being taken to reduce mechanistic reliance on CRA ratings and to encourage financial institutions instead to strengthen their own credit risk assessment processes.

Members were updated on the status of reforms to OTC derivatives markets to meet the G20 commitments relating to central clearing, exchange and electronic platform trading, reporting to trade repositories, capital requirements, and standardisation of OTC derivatives, and discussed the work needed and remaining challenges to finalise implementation of these reforms. The Group also discussed work underway across Europe for structural reform of banking and the potential implications for financial markets.

The Membership of the FSB Regional Consultative Group for Europe includes financial authorities from Austria, Belgium, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Israel, Italy, Luxembourg, Netherlands, Norway, Poland, Portugal, Spain, Switzerland, Sweden, United Kingdom and the Group of International Finance Centre Supervisors. The European Commission, the European Central Bank and the European Banking Authority also attended the meeting.