Regulatory regionalism expected in 2017

Author: Edward Price | Published: 2 Dec 2016

As 2016 draws to a close, a debate is raging as to whether international and transatlantic financial regulatory coherence can survive the coming year. Once widely assumed to be the end-goal of post-crisis regulators and policymakers alike, such coherence now faces its potential demise.  

Ongoing economic problems in bank-reliant Europe had already led the region’s regulators to look less than kindly on Basel IV. In fact, some argue that the European attitude towards Basel III was always far cooler than it ought to have been. And two political surprises in 2016 – the UK’s June 23 vote to exit the EU, and the victory of GOP presidential candidate Donald Trump – have only increased the likelihood of regulatory de-internationalisation next year and beyond.

"We’ve reached a high watermark of cooperation, the latest iteration of Basel III? We’ll have to see what that comes to," said James Chew, global head...