Guidance on Cooperation and Information Sharing with Host Authorities of Jurisdictions where a G-SIFI has a Systemic Presence that are Not Represented on its CMG
The FSB Key Attributes of Effective Resolution Regimes for Financial Institutions require home and key host authorities of FSB-designated Global Systemically Important Financial Institutions (G-SIFIs) to maintain CMGs to prepare for and manage a cross-border financial crisis affecting the firm. The membership composition of CMGs requires a balance to be struck between efficiency and inclusiveness. The FSB Guidance seeks to ensure that host regulators who are not part of CMGs have access to relevant information about a firm even if the market they supervise is not considered systemic for the firm. This sharing of information is especially important in instances where the failure of an institution could be systemic for the non-CMG country. This guidance sets out a way for resolution authorities and host regulators to address these concerns and ensure that appropriate arrangements for ongoing communication, cooperation and information sharing with the relevant authorities in those jurisdictions are established and maintained.