FSB Regional Consultative Group for the Commonwealth of Independent States meets in Astana

7 May 2026

The Financial Stability Board (FSB) Regional Consultative Group for the Commonwealth of Independent States (RCG CIS) convened on 5-6 May 2026 in Astana, hosted by the National Bank of the Republic of Kazakhstan (NBK). The meeting brought together senior officials from central banks, financial authorities, and regulatory bodies across the region to discuss key financial stability topics.

Co-chaired by Akylzhan Baimagambetov, Deputy Governor of the NBK, and Armen Nurbekyan, Deputy Governor of the Central Bank of Armenia, the meeting covered: global and regional financial vulnerabilities, the impact of strains in foreign exchange markets, resolution regimes and their implementation, as well as global stablecoins and crypto-assets. Members also reflected on the FSB’s 2026 work programme and discussed how regional perspectives can contribute to global financial stability efforts.

FSB warns on private credit vulnerabilities

6 May 2026

Press enquiries:
+41 61 280 8477
[email protected]
Ref: 7/2026

  • The FSB report highlights that private credit brings benefits but also vulnerabilities, including complex interlinkages with banks, borrower credit quality concerns, and valuation opacity.
  • Private credit has grown rapidly and remains untested in a prolonged economic downturn, with high leverage and concentration in specific sectors potentially amplifying stress.
  • The FSB encourages authorities to close data gaps, harmonise definitions to enhance monitoring, and deepen analysis of financial interconnections and liquidity issues, while sharing supervisory insights.

The Financial Stability Board (FSB) today published a report on financial stability vulnerabilities in private credit. This activity has grown rapidly, to an estimated $1.5-2.0 trillion in assets at end-2024 and is heavily concentrated in a few jurisdictions. Notwithstanding the benefits private credit brings, in the form of tailored finance for companies and diversification for investors, it also embeds several vulnerabilities.

The Financial Stability Board (FSB) today published a report on financial stability vulnerabilities in private credit. This activity has grown rapidly, to an estimated $1.5-2.0 trillion in assets at end-2024 and is heavily concentrated in a few jurisdictions. Notwithstanding the benefits private credit brings, in the form of tailored finance for companies and diversification for investors, it also embeds several vulnerabilities.

Interlinkages with banks: The private credit ecosystem is characterised by deepening interconnections between asset managers, banks, insurers and private equity firms. Banks and private credit funds are connected through financing arrangements and strategic partnerships. Across FSB members, the available data captures direct exposures of around $220 billion of drawn and undrawn bank credit lines to private credit funds, while some commercial estimates range from $270-$500 billion. This range highlights some of the data challenges in private credit. However, there are also potential vulnerabilities from a range of other indirect exposures including through banks providing revolving credit facilities to companies that are simultaneously borrowing from private credit funds and the growing use of synthetic risk transfers.

Borrower credit risks and valuation practices: The report warns that valuation opacity and reliance on private credit ratings can amplify strains in stress. Private credit borrowers typically lack public ratings, creating transparency challenges for market-wide monitoring. Available evidence indicates that borrowers typically have lower credit quality and higher leverage than borrowers observed in comparable public markets. There are some signs of borrower stress as usage of payment-in-kind arrangements has increased and some increases in default rates, albeit from low levels.. The growing use of private ratings, sometimes from lesser-known providers, to facilitate investment by rating-reliant investors (including insurers) also warrants monitoring. Private credit lending is concentrated in a few sectors, notably technology, healthcare, and services, complicating surveillance and increasing the risk that a firm‑ or sector‑specific shock turns into broader market stress.

Concentration, leverage and liquidity issues: Concentration arises from significant exposure to sectors such as technology, healthcare, and services. Leverage is reflected in the presence of opaque, multi-layered structures. Liquidity issues stem from the growing popularity of funds offering redemption options to investors, which may heighten the procyclicality of private credit.

Data gaps: The report warns that data gaps hinder effective oversight of the sector. Differences in definitions across jurisdictions and limited fund‑ and loan‑level information make it hard to assess exposures and potential transmission channels. The report proposes a core set of comparable metrics for authorities to track market size and growth, links with banks and insurers, leverage, liquidity features, concentration, cross‑border activity, and borrower credit quality.

The FSB encourages authorities to:

  • address data challenges, including those related to the lack of granular fund and loan-level data and the absence of harmonised global definitions.
  • Deepen analysis of interlinkages of private credit with private equity and insurers and of liquidity mismatches in private credit funds.
  • Share supervisory approaches on risk management and governance for banks and nonbanks active in private credit, including aggregation of exposures, valuation practices, and the use of private ratings.

Notes to editors

This report forms part of the FSB’s work programme to enhance resilience in nonbank financial intermediation (NBFI). Further details on this can be found in its latest progress report.

The FSB coordinates at the international level the work of national financial authorities and international standard-setting bodies and develops and promotes the implementation of effective regulatory, supervisory, and other financial sector policies in the interest of financial stability. It brings together national authorities responsible for financial stability in 24 countries and jurisdictions, international financial institutions, sector-specific international groupings of regulators and supervisors, and committees of central bank experts. The FSB also conducts outreach with approximately 70 other jurisdictions through its six Regional Consultative Groups.

The FSB is chaired by Andrew Bailey, Governor of the Bank of England. The FSB Secretariat is located in Basel, Switzerland and hosted by the Bank for International Settlements.

Report on Vulnerabilities in Private Credit

| PDF full text (1 MB)

Interconnections between private credit funds and banks, insurers, and private equity firms are deepening, raising potential vulnerabilities.

The private credit market has grown significantly across jurisdictions, with its total size estimated to be between $1.5 trillion and $2 trillion. This growth is driven by its ability to provide tailored financing options for companies, including those with higher credit risks or limited collateral. In the past, private credit mostly focused on medium-sized businesses and was available only to institutional investors, such as pension funds and insurance companies. However, it is now increasingly being used by larger companies and is becoming more accessible to retail investors.

Stylised private credit ecosystem
Stylised private credit ecosystem

The private credit ecosystem includes a variety of participants such asset managers, insurers, pension funds, and banks, with asset managers acting as general partners.

While the growth of private credit may bring benefits, it also affects potential vulnerabilities. Private credit at its current size and scope has not been tested during a severe economic downturn, which could expose leverage and borrower credit quality vulnerabilities.

This report provides an overview of the private credit ecosystem, identifying potential vulnerabilities related to interlinkages with banks. It also highlights the challenges in collecting and analysing data for effective monitoring of the sector. The report also discusses other potential vulnerabilities, such as interconnectedness with insurers and private equity firms, cross-border interlinkages, leverage, liquidity mismatches, and concentration.

FSB Regional Consultative Group for Middle East and North Africa meets virtually

30 April 2026

The Financial Stability Board (FSB) Regional Consultative Group for Middle East and North Africa (RCG MENA) met on 30 April virtually, co-chaired by Governor Hassan Abdalla at the Central Bank of Egypt and Governor Fatih Karahan at the Central Bank of the Republic of Türkiye.

The virtual meeting, which brings together senior officials from central banks, financial authorities and regulatory bodies in the region, covered global and regional financial stability vulnerabilities including in light of recent developments in the region. Members also discussed the FSB’s ongoing work in 2026.

FSB finalises guidance on insurers subject to recovery and resolution planning

29 April 2026

Press enquiries:
+41 61 280 8477
[email protected]
Ref: 6/2026

  • FSB publishes final guidance for authorities to assess which insurers should be subject to recovery and resolution planning (RRP) requirements.
  • The guidance outlines key criteria to consider when assessing individual insurers and specifies circumstances when RRP requirements should apply.
  • The guidance may help authorities in determining which insurers they should report to the FSB’s list of insurers subject to resolution planning standards consistent with the Key Attributes.

The Financial Stability Board (FSB) today published its finalised guidance on the scope of insurers subject to recovery and resolution planning (RRP) requirements. The guidance offers a structured approach for authorities to assess which insurers should be subject to those requirements, consistent with the FSB Key Attributes of Effective Resolution Regimes for Financial Institutions (Key Attributes).

The Key Attributes establish RRP requirements as a fundamental component of effective resolution regimes for financial institutions. The guidance published today outlines six key criteria that authorities should consider when evaluating whether an insurer should be subject to RRP requirements: nature, scale, complexity, substitutability, cross-border activities, and interconnectedness. Additionally, it identifies specific circumstances in which RRP requirements should apply, such as when an insurer provides a critical function or when its failure is likely to have a material impact on the financial system and/or the real economy of the jurisdiction. This is intended to align with the requirements in the International Association of Insurance Supervisors’ Insurance Core Principles.

The guidance helps to promote consistency in application of the Key Attributes across jurisdictions, while leaving some flexibility to accommodate differences in market structures, legal frameworks, and supervisory practices. The guidance may also help authorities in determining which insurers to report to the FSB’s list of insurers subject to resolution planning standards. This list is published annually in the FSB Resolution Report and on the FSB’s website. 

Notes to editors

In 2025, the FSB reaffirmed its decision to use the International Association of Insurance Supervisors Holistic Framework assessments instead of an annual identification of global systemically important insurers (G-SIIs) and launched a consultation on draft guidance outlining key criteria for authorities to consider when determining whether an insurer should be subject to RRP requirements. Today’s final guidance reflects public feedback received on that consultation.

The FSB coordinates at the international level the work of national financial authorities and international standard-setting bodies and develops and promotes the implementation of effective regulatory, supervisory, and other financial sector policies in the interest of financial stability. It brings together national authorities responsible for financial stability in 24 countries and jurisdictions, international financial institutions, sector-specific international groupings of regulators and supervisors, and committees of central bank experts. The FSB also conducts outreach with approximately 70 other jurisdictions through its six Regional Consultative Groups.

The FSB is chaired by Andrew Bailey, Governor of the Bank of England. The FSB Secretariat is located in Basel, Switzerland and hosted by the Bank for International Settlements.

Scope of Insurers Subject to the Recovery and Resolution Planning Requirements in the FSB Key Attributes: Final Report

| PDF full text (390 KB)

Summary of document history

Summary of document history

Recovery and resolution planning requirements are a fundamental component of effective resolution regimes for financial institutions, including insurers.

In 2022, the FSB announced it would discontinue identifying global systemically important insurers (G-SIIs) and would, among other things, provide guidance regarding approaches to determine the scope of application to insurers of the FSB Key Attributes of Effective Resolution Regimes for Financial Institutions.

This report offers a structured approach for authorities to assess which insurers should be subject to recovery and resolution planning (RRP) requirements, consistent with the FSB’s Key Attributes. The guidance outlines criteria authorities should use to assess whether an insurer should be subject to RRP requirements and the circumstances under which RRP requirements should always apply.

The approach helps to promote consistency in the application of the Key Attributes across jurisdictions, while leaving some flexibility to accommodate differences in market structures, legal frameworks, and supervisory practices.

The guidance may also help authorities in determining which insurers to report to the FSB’s list of insurers subject to resolution planning standards consistent with the Key Attributes. This list is published annually in the FSB Resolution Report and on the FSB’s website. 

Scope of Insurers Subject to Recovery and Resolution Planning Requirements in the Key Attributes: Overview of consultation responses

| PDF full text (214 KB)

Summary of document history

Summary of document history

On 25 November 2025, the FSB published a consultation report on the Scope of Insurers Subject to the Recovery and Resolution Planning Requirements (RRP) in the FSB Key Attributes. The consultation, which ended on 6 February 2026, aimed at gathering feedback on criteria to identify insurers subject to RRP requirements, on specific circumstances that should necessitate RRP requirements, as well as on FSB guidance regarding the definition of critical functions for insurers.
The FSB received 9 responses to the consultation, from both the public and the private sectors. Respondents expressed broad support for the report, while raising some concerns about potential overreach or duplication with other frameworks, and the need for clarification in certain areas.
This note summarises the feedback received on the consultation report and sets out the main changes made to the final report in order to address them.

Identification of Critical Functions of Insurers: Practices paper – Revised version

| PDF full text (588 KB)

The identification of critical functions is an important part of resolution planning, which is often conducted as a first step to help inform resolution planning decisions.

The Key Attributes of Effective Resolution Regimes for Financial Institutions set out the core elements that the FSB considers to be necessary for an effective resolution regime. Their application should allow authorities to resolve financial institutions in an orderly manner without exposing taxpayers to loss from solvency support and maintain continuity of financial institutions’ vital economic functions. The identification of these critical functions is therefore a core part of resolution planning and is often conducted as one of the first steps to build the basis for further resolution planning decisions.

This Practices Paper sets out the approaches taken by Australia, China, France and the Netherlands for the identification of critical functions of insurers. Each have developed policy for, or significantly progressed their thinking on, the identification of critical functions in their jurisdiction. The paper outlines commonalities and differences in background, scope, methodology and review process. The paper also describes the main critical functions which were identified and the main considerations which supported the identification of critical functions, providing illustrative examples for each jurisdiction.

Key Attributes Assessment Methodology for the Insurance Sector: Revised version

| PDF full text (898 KB)

Methodology for essential criteria to guide the assessment of the compliance of a jurisdiction’s insurance resolution framework.

This methodology paper was originally published in August 2020. The FSB subsequently published Guidance on the Scope of Insurers Subject to the Recovery and Resolution Planning Requirements in the FSB Key Attributes. That guidance revises the definition of a critical function, details of which are included in an explanatory note.

This methodology sets out essential criteria to guide the assessment of the compliance of a jurisdiction’s insurance resolution framework with the FSB’s Key Attributes of Effective Resolution Regimes for Financial Institutions (Key Attributes). It was developed in collaboration with experts from FSB jurisdictions, relevant standard-setting bodies, the International Monetary Fund and the World Bank. It is designed to promote consistent assessments across jurisdictions and to provide guidance to jurisdictions when adopting or amending their resolution regimes to implement the Key Attributes.

The Key Attributes constitute an ‘umbrella’ standard for resolution regimes for all types of financial institutions. Implementation of the Key Attributes allows authorities to resolve financial institutions in an orderly manner without taxpayer exposure to loss from solvency support, while maintaining continuity of their vital economic functions. However, not all attributes are equally relevant for all sectors. The Key Attributes Assessment Methodology provides an insurance sector-specific interpretation of individual KAs. It stresses that a jurisdiction’s insurance resolution regime should be proportionate to the size, structure and complexity of the jurisdiction’s insurance system.

In December 2022, the FSB announced that it would discontinue the annual identification of global systemically important insurers, and would instead utilise assessments available through the IAIS Holistic Framework to inform its considerations of systemic risk in the insurance sector. The FSB reaffirmed this decision in November 2025, and in April 2026, published Guidance on the Scope of Insurers Subject to the Recovery and Resolution Planning Requirements in the FSB Key Attributes, which updates the definition of a “critical function”.

Developing Effective Resolution Strategies and Plans for Systemically Important Insurers: Revised version

| PDF full text (539 KB)

A resolution strategy should make it feasible to resolve an insurer while protecting vital economic functions, without severe systemic disruption or exposing taxpayers to loss, through mechanisms that make it possible for shareholders and unsecured creditors to absorb losses

This guidance should assist authorities in meeting the resolution planning requirement under the Key Attributes of Effective Resolution Regimes for Financial Institutions (Key Attributes) and support Crisis Management Groups of global systemically important insurers in their resolution planning work. It sets out considerations for determining a preferred resolution strategy based on a strategic analysis of insurers’ business models, the criticality of insurers’ functions and policy holder protection arrangements. It also identifies a range of elements that need to be in place so that a resolution strategy can be credibly and feasibly be implemented, including effective cross-border cooperation, information systems and resources to absorb loss.