Two banks in the United States have failed, but it turned out that these two banks were not subject to the so-called "stress test" last year's soundness review conducted by the financial authorities.
It is a form that reveals the fact that the authorities' examination could not keep up with the rapid expansion of assets against the background of large-scale monetary easing.
In the United States, from 10th to 12th of this month, "Silicon Valley Bank" and "Signature Bank" went bankrupt one after another, and it has been pointed out that the FRB = Federal Reserve Board could not grasp the risks in advance.
Learning from the 2008 financial crisis, the United States introduced rigorous examinations and stress tests to check the soundness of financial institutions.
The review is open to all financial institutions with assets of $100 billion or more.
The two failed banks, which had more than $100 billion in assets as of December last year, were not subject to a review last year or scheduled to be reviewed this year, according to people familiar with the U.S. Federal Reserve. Turns out it wasn't.
According to the people involved, this is because the review requires a huge amount of procedures and takes at least two years to prepare.
Against the backdrop of large-scale monetary easing, the deposits of "Silicon Valley Bank" as of the end of March last year surged 3.2 times compared to two years ago, and it was subject to review as a requirement, but the authorities' response It is the form that the reality that could not catch up became clear.
It has been pointed out that the financial authorities should conduct more flexible examinations depending on the situation, and the Fed will review its supervision and regulation by May 1.
Bank of Japan Governor Kuroda "I'll take a closer look at what kind of impact it can have"
Kuroda, Governor of the Bank of Japan, said at the House of Representatives' Finance and Financial Affairs Committee on the 15th that he would carefully watch the impact of the bankruptcies on the financial system in the United States.
Among them, Governor Kuroda of the Bank of Japan, when attending an international conference held in Switzerland this week, asked the governors of the central banks of each country what kind of impact the bank failure would have on the global financial market. clarified the discussion.
Governor Kuroda said, ``There was a sense of relief at the governor's meeting because the Fed, which is the government and central bank of the United States, quickly took necessary measures to stabilize the financial system, such as fully protecting deposits.'' and evaluated the response of the US financial authorities.
Regarding the future, he indicated that he would carefully monitor the impact on the financial system, saying, "It is necessary to take a closer look with increased sensitivity to see what kind of impact it may have."