Foreign exchange rate and Systemically Important Bank: Difference between pages

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The price for a foreign exchange transaction.
(SIB).


Also known as the ''foreign currency exchange rate''.
A bank whose disorderly failure would, because of its:


(i) Size,
(ii) Complexity, and


Relevant accounting standards include Section 30 of FRS 102.
(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.




== See also ==
== See also ==
* [[Cross rates]]
* [[Bank]]
* [[Foreign exchange]]
* [[BSBY]]
* [[Forward foreign exchange rate]]
* [[Capital adequacy]]
* [[FRS 102]]
* [[Financial institution]]
* [[Interest rate]]
* [[Global SIFI]]
* [[Price]]
* [[Regulation]]
* [[Systemic risk]]
* [[Systemically Important Financial Institution]]  (SIFI)
* [[Too Big To Fail]]


[[Category:Accounting,_tax_and_regulation]]
[[Category:The_business_context]]
[[Category:Identify_and_assess_risks]]
[[Category:Manage_risks]]
[[Category:Manage_risks]]
[[Category:Risk_frameworks]]
[[Category:Risk_reporting]]

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.


See also