05292016Sun
Last update: Sun, 29 May 2016 04pm

Banking & Finance

Business & Finance - Banking & Finance

Brazil's central bank closely monitoring nine banks BRASILIA: Brazil's central bank has placed nine banks under "special surveillance" and is closely monitoring the liquidity and stability of their operations, according to an undated internal bank document reviewed by Reuters.The document, labeled as a presentation prepared for a May 19 meeting of the central bank's financial stability committee, which coordinates regulation of the banking system, says the small banks under surveillance include Banif, Maxima, Ficsa, Gerador, Pottencial, BPN Brasil, Mercantil do Brasil and Pan. The heightened scrutiny reflects regulators' concerns, outlined in the document, that excessive leverage, recurring losses, tough-to-sell assets or reputational risks could eventually threaten the lenders' stability. The list also includes BTG Pactual, Latin America's largest investment bank, which was plunged into turmoil by the arrest of its founder Andres Esteves in November in a corruption probe.Esteves has since been released and the bank has implemented a recovery program. The institutions under surveillance have little ...

Business & Finance - Banking & Finance

BoE's Haldane says banks must do more to win back ‘social licence’ LONDON: Britain's banks must bridge the "great divide" with a distrustful public to maintain a well-functioning financial system that supports growth, a senior Bank of England official said on Wednesday. BoE Chief Economist Andy Haldane said there was a "yawning gap" between how banks see themselves and how the public views the sector. Members of the public who attended the BoE's Open Forum last November on fixing the financial sector described the industry as self-serving, ...

Business & Finance - Banking & Finance

Fed signals interest rate hike firmly on the table for June WASHINGTON: US Federal Reserve officials said it would be appropriate to raise interest rates in June if economic data points to stronger second-quarter growth as well as firming inflation and employment, according to minutes from their policy meeting last month. That view, expressed by most of the Fed's policy-setting committee at the April 26-27 meeting, suggests the US central bank is closer to lifting rates again than Wall Street had expected. The policymakers said recent ...

Business & Finance - Banking & Finance

Deutsche, Barclays hit in D.C. watchdog crossfire WASHINGTON: Deutsche Bank , Barclays and others could be hit in the latest Washington watchdog crossfire.The Treasury Department's new proposal to curb tax-driven cross-border M&A targets debt US units issue to overseas parents. That, though, is what the Federal Reserve is making big foreign banks do to prevent bailouts. The two agencies are trying to fix the mess. But it puts Washington in a bad light. The Fed proposed its rule first, in October. The ...

Business & Finance - Banking & Finance

BNP Paribas to cut 5pc of investment banking jobs in UK PARIS: BNP Paribas plans to cut its investment banking staff in Britain by around 5 percent in 2016, a source familiar with the matter said, offering details of the bank's broader plan to cut costs in a division hit by tighter regulation and a slump in revenue. BNP plans to axe 233 British jobs but will also be hiring 60 employees there -- bringing the net headcount down to 3,105 in 2016 from 3,278 in ...

Business & Finance - Banking & Finance

Hungarian central bank seen lowering rates next week, may end cuts BUDAPEST: Hungary's central bank is expected to lower its base rate at its meeting on May 24 in a cut which may be the last one in its current easing cycle, a Reuters poll of analysts showed on Wednesday. The bank has cut its base rate, which now stands at 1.05 percent, in 15 basis point monthly steps since it started a new easing cycle in March as inflation remains near zero, well below the ...

Business & Finance - Banking & Finance

UK bank commission head reignites spat with central bank on capital LONDON: One of Britain's most influential architects of banking reform resumed a spat with the Bank of England on Wednesday, arguing that policymakers have gone too easy on the size of mandatory buffers aimed at protecting balance sheets in times of stress. The Independent Commission on Banking (ICB) chaired by John Vickers has recommended a systemic risk buffer for banks equivalent to 3 percent of risk-weighted assets, while the Bank of England says the level ...