Identifying and Regulating Systemically Important Financial Institutions
Economic Notes, Forthcoming
28 Pages Posted: 28 Sep 2013
Date Written: July 26, 2013
The current international financial crisis, which started in 2007 in the US and soon spread to the rest of the world, has revealed that the failure of an interconnected and complex financial institution, even though not necessarily large in terms of total assets, can threaten the stability of the entire financial system and have serious negative consequences for the real economy. In this study, we survey the analytical framework for identifying systemically important financial institutions (SIFIs) and discuss the various regulatory proposals that have been put forward at the national and global level to deal with SIFIs.
Keywords: SIFIs, systemic risk, regulation
JEL Classification: G01, G18, G21
Suggested Citation: Suggested Citation