To G20 Leaders
Progress of Financial Regulatory Reforms
The Seoul Summit will mark the delivery of two central elements of the reform programme launched in Washington to create a sounder financial system and reduce systemic risk globally: a materially strengthened global framework for bank capital and liquidity, and a comprehensive policy framework to address the moral hazard risks associated with institutions that are too big (or complex) to fail.
The reform programme launched at the Washington Summit was necessarily ambitious and the timetable demanding. Propelled by your support and determination, and reflecting an unprecedented intensity of international co-operation, the core policy reforms have been delivered on time.
Full and internationally consistent implementation of the agreed reforms will be essential if they are to have the impact on global financial stability that you intend. The process of implementation is well underway at national and regional levels, as detailed in the reports submitted to you. But much still lies ahead of us and your continued strong support will be needed to see through the changes in laws and regulations required. Continue reading