On 20 June 2012, the G20 published its leaders’ declaration following the close of the Los Cabos summit. The declaration was wide-ranging, but on the subject of economic stabilisation and the global recovery, the G20 affirmed its support for the ‘consideration of a more integrated financial architecture, encompassing banking supervision, resolution and recapitalization, and deposit insurance’ within the EU.
More specifically, the G20 also provided guidance on the future timetable for financial sector reform:
- reiterating its commitment to make national resolution regimes consistent with the FSB Key Attributes of Effective Resolution Regimes;
- supporting the ongoing development of recovery and resolution plans and institution-specific cross-border cooperation agreements for all G-SIFIs;
- reiterating its commitment to strengthen the intensity and effectiveness of the supervision of SIFIs and requesting the FSB to report on progress in this area in November 2012 at the G20 Finance Ministers and Central Bank Governors’ meeting;
- welcoming progress on the development of a common framework for the identification of, and policy measures relating to, domestic systemically important banks (D-SIBs);
- Requesting the FSB and the International Association of Insurance Supervisors (IAIS) to complete their work on identification and policy measures for global systemically important insurers by April 2013;
- looking forward to the preparation by the FSB and the International Organization of Securities Commissions (IOSCO) of methodologies to identify other systemically important non-bank financial entities by end-2012;
- calling on the Committee on Payment and Settlement Systems (CPSS) and IOSCO to continue their work on systemically important market infrastructures; and
- requesting the IAIS to continue its work to develop a common framework for the supervision of internationally active insurance groups by end-2013.