Systemically Important Bank: Difference between revisions
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== See also == | == See also == | ||
* [[Bank]] | * [[Bank]] | ||
* [[Capital adequacy]] | * [[Capital adequacy]] | ||
* [[Financial institution]] | * [[Financial institution]] | ||
Latest revision as of 16:26, 17 March 2022
(SIB).
A bank whose disorderly failure would, because of its:
(i) Size,
(ii) Complexity, and
(iii) Systemic interconnectedness
cause significant disruption to the wider financial system and to economic activity in its (main) country or region of operation.
For this reason, SIBs are subject to more stringent regulation and capital adequacy requirements than other institutions.
