Bank Restructuring and Resolution

Source details

Participants are expected to have experience in bank supervision, bank resolution (policy issues or operational experience) and/or depositor protection.
Target Audience:
- Mid-level to senior officials in central banks, regulatory agencies, supervisory authorities, ministries of finance, deposit insurance funds, and other agencies with responsibility for bank supervision, bank resolution, and the operation of financial sector safety nets.

Identification and supervision of weak banks:
- Common causes of banking problems and how to identify them.
- Early intervention tools and supervisory approaches for dealing with weak banks.
Operational preparedness:
- Institutional foundations of the financial safety net and inter-agency coordination.
Building blocks of effective resolution regimes:
- Guided by the Financial Stability Board’s Key Attributes of Effective Resolution Regimes.
Recovery and resolution planning.
Initiatives to test operational preparedness.
Role of deposit insurance and depositor preference.
Crisis containment:
- Liquidity support, government guarantees, and exceptional administrative measures to stop persistent liquidity outflows.
Bank restructuring and resolution:
- Initiation of resolution proceedings.
- Resolution options for systemically important and non-systemic banks.
- Cross-border resolution.
- System-wide diagnostics and restructuring strategies.
- Policy considerations and instruments for public capital support.
Dealing with distressed assets:
- Market failures and policy reforms.
- Approaches for resolving nonperforming loans—supervisory policies, insolvency and debt enforcement, distressed asset markets and the role of asset management companies.

Explain the building blocks of crisis preparedness and management.
Identify weak banks and devise strategies for dealing with them.
Pinpoint key design features of effective resolution regimes and options for enhancing operational preparedness.
Identify stabilization options in response to financial panic and design credible strategies for bank restructuring and resolution at an individual and system-wide level.
Compare options for dealing with distressed assets.