From Investing.com: 2024-06-20 01:11:11

Following the 2023 collapse of Credit Suisse, weaknesses in the Swiss financial regulatory framework persist, according to the Swiss National Bank. Concerns led to a state-backed rescue where UBS absorbed Credit Suisse, prompting proposed tougher regulations for banks deemed “too big to fail.”

The SNB shared the Federal Council’s view on the need for action on capital requirements, liquidity requirements, early intervention, and recovery and resolution planning. Despite UBS holding more capital, weaknesses in the current regime remain and need addressing.

A review of the liquidity coverage ratio, a key measure of a bank’s ability to meet cash demands, was backed by the SNB. The UBS takeover of Credit Suisse did not raise competition concerns, according to Switzerland’s financial regulator, despite recommendations from the antitrust watchdog.



Read more at Investing.com: Weaknesses in regulatory framework remain after Credit Suisse collapse, says SNB By Reuters