A Regulatory Design for Financial Stability in Hong Kong

The post-2008 financial regulatory reforms do not fully appreciated the critical role of the supervisory model in attaining financial stability.

Evan Gibson (Author)

9781316515624, Cambridge University Press

Hardback, published 1 September 2022

350 pages
23.5 x 15.8 x 2.3 cm, 0.64 kg

In Hong Kong, the banking system is the primary source of financial stability risk. Post-2008 regulatory reforms have focused on financial stability policies and tools while neglecting the design of supervisory models. This book provides a comparative analysis of how supervisory models affect the management of financial stability regulations in Hong Kong's banking system. Regulatory issues discussed span prudential regulations, systemically important banks, unconventional liquidity tools, deposit insurance, lender of last resort, resolution regimes, central clearing counterparties and derivatives, Renminbi infrastructure, stock and bond connect schemes, distributed ledger technology, digital yuan, US dollar sanctions, cryptocurrencies, RegTech, and FinTech. A Regulatory Design for Financial Stability in Hong Kong elucidates the flaws and synergies in Hong Kong's banking regulatory framework and proposes conventional and innovative regulatory reforms. This book will be of great interest to banking, financial, and legal practitioners, central bankers, regulators, policy makers, finance ministries, scholars, researchers, and policy institutes.

Part I. A Financial History of Hong Kong: 1. Introduction
2. Hong Kong 1841-1997: financial crises and financial regulation
3. Hong Kong Special Administrative Region: financial crises and financial regulation
Part II. The Regulatory Models of Financial Supervision: 4. The sectoral supervisory model: central banks, banking regulations and financial stability
5. Integrated, twin peaks, and systemic risk supervision for financial stability
Part III. Contemporary Regulatory and Supervisory Approaches: 6. Conceptualizing financial stability during financial crises: liquidity and systemic risk
7. Financial regulation for a sustainable economy: financial stability approaches
Part IV. Banking Regulation and Supervision in Hong Kong: 8. Bank regulation and supervision: Basel III and systemic risk
9. Banking systems and financial stability: monetary policy and unconventional liquidity tools
Part V. Resolution Regimes and Crisis Management Mechanisms: 10. Deposit protection and the lender of last resort
11. Resolution regimes and systemically importance banks
12. Central clearing counterparties and derivatives: financial regulation and resolution regume
Part VI. Financial Market Integration with the Mainland: 13. China's International Financial Centre, Renminbi infrastructure and cross-boundary regtech
14. Dollar sanctions, the digital yuan and regulating fintech
Conclusion.

Subject Areas: Banking law [LNPB], Financial law [LNP], Comparative law [LAM], International business [KJK], Finance [KFF]