Victoria Saporta, Executive Director of Prudential Policy at the Bank of England, explains why the Prudential Regulation Authority (PRA) has to be robust but flexible when responding to the future challenges.
Technology is transforming the financial system she says. And UK regulators must have the powers and tools to respond flexibly to the opportunities and risks it brings.
Saporta also outlines the PRA’s approach to liquidity policy now the international banking reforms are in place. She set out three priority issues for implementation: cashflow mismatch risk, the Net Stable Funding Ratio (NSFR) and asset encumbrance.
But the biggest change to finance is coming from technology. This poses many opportunities as well as risks. It is crucial that post Brexit, UK regulators have the powers and tools to respond to them, as well as challenges from climate change and demographics, amongst others, flexibly in support of a vibrant and resilient UK financial system.
Full speech
© Bank of England
Key
Hover over the blue highlighted
text to view the acronym meaning
Hover
over these icons for more information
Comments:
No Comments for this Article