Banking

Bloomberg The next member of the European Central Bank’s Governing Council from Latvia will be selected through an open competition if Latvian Prime Minister Krisjanis Karins gets his way. The premier is looking for a clean break for the monetary authority, which was tainted by a bribery scandal during the current governor’s 18 years at the helm, he said. Karins ...

Bloomberg Former Reserve Bank of India governor Raghuram Rajan has indicated the political challenges posed by Brexit were the reasons he didn’t apply to head up the Bank of England. In an interview with the BBC, Rajan confirmed he hadn’t sought the position and cited the fact that central banking “has become much more political in recent times” as an ...

Bloomberg Australia’s banking regulator is set for a major overhaul after a government-commissioned review found it had a “culture of conformity” and needed to become more forceful. In a scathing 146-page report released on Wednesday, the Australian Prudential Regulation Authority (APRA) was found to be slow to act, tentative in addressing issues that don’t entail traditional financial risks, and have ...

Bloomberg Svenska Handelsbanken AB, one of Sweden’s biggest banks, is taking a long, hard look at its business model to see which corners it can ax so that costs stop growing faster than income. Carina Akerstrom, who took over as chief executive officer in March, said she’s “not at all” happy with the way in which Handelsbanken’s costs are developing. ...

Bloomberg Cash-strapped Dewan Housing Finance Corp is in discussions with its bondholders to revamp its debt as the Indian mortgage lender tries to shore up its financials after posting its first quarterly loss in more than a decade. In a meeting with its rupee bondholders, Dewan Housing discussed an inter-creditor agreement that the consortium of bankers has agreed to enter ...

Bloomberg The Bank of England’s balance sheet should fall to around half its current size when quantitative easing (QE) is finally unwound, according to the executive director for markets. While there’s no sign that the bond-purchase programme will be pared back any time soon, a new BOE Discussion Paper on quantitative tightening suggests that the “steady state” balance sheet should ...

Bloomberg Ghana stocks headed for the lowest in 21 months as investors sold shares to free up cash as they contend with the fallout from banking reforms in the West African nation. The Ghana Stock Exchange Composite Index retreated 1.5 percent in Accra on Wednesday, heading for the lowest close since October 2017. Ghana’s banking industry regulator completed a clean-up ...

Bloomberg Swedbank AB acknowledged it will no longer be able to live up to its goal of paying out one of the highest dividend ratios in the Nordic finance industry. Sweden’s oldest bank, which is dealing with the fallout of a money laundering scandal that has left it Europe’s worst performing financial stock this year, said it will now target ...

Bloomberg JPMorgan Chase & Co was hit by the Federal Reserve’s about-face on interest rates in the second quarter, warning that lending income will fall in the second half. The largest US bank cut its full-year outlook for net interest income — revenue from customers’ loan payments minus what the bank pays depositors — by $500 million. NII accounted for ...

Bloomberg Facebook Inc won’t launch Libra, the controversial cryptocurrency it’s planning to build with dozens of partner firms, until regulators’ concerns are fully addressed, according to the company’s top executive on the project. David Marcus, who will appear before members of both houses of US Congress to discuss the project this week, said Facebook will also get ‘appropriate approvals’ before ...