Financial stability risks from linkages between banks and the non-bank financial intermediation sector
The European Central Bank (ECB) and the European Systemic Risk Board (ESRB) published a joint report entitled “Financial stability risks from linkages between banks and the non-bank financial intermediation sector”. The report finds linkages between banks and the non-bank financial intermediation (NBFI) sector to be significant, and while they do not currently pose acute risks […]
Financial stability risks from geoeconomic fragmentation
The European Central Bank (ECB) and the European Systemic Risk Board (ESRB) have published a joint report, “Financial stability risks from geoeconomic fragmentation,” introducing a new framework to monitor how rising geopolitical tensions impact the financial system. Key Highlights: Economic Impact: Geopolitical shocks are increasingly driving macro-financial uncertainty, leading to tighter financial conditions, increased risk […]