SUERF Baffi Bocconi - 2023 banking turmoil - 20240131

On 31 January 2024, over 200 international experts gathered for a SUERF-BAFFI Bocconi webinar on “The 2023 banking turmoil: Déjà vu all over again?”.

The March 2023 banking turmoil was the most significant stress in the European and US banking systems since the Great Financial Crisis in 2008. It started with the forced takeovers of Silicon Valley Bank, First Republic and Signature in the US, which were organized after an unprecedented digital run. The turmoil culminated in the sale of Credit Suisse, a global systemically important bank (GSIB), to UBS. While having largely distinct causes, the bank failures triggered a wave of question marks about the resilience of banks, banking systems and financial markets in many countries. In response, wide-scale public support measures were deployed by some governments to mitigate the impact of the stress. In a medium term perspective, according to the IMF’s October 2023 Global Financial Stability Review, more than 30% of banks – including some of the world’s largest – would be vulnerable if the global economy entered a period of stagflation.

These events and the unresolved vulnerability of banks raise a number of major policy issues, which were discussed by internationally renowned academic researchers, policy makers and financial practitioners at this webinar.

Speakers and timeline:

00:00:13 - Ernest Gnan, Secretary General, SUERF: Opening and introduction
00:02:49 - Martin Scheicher, Adviser, DG Horizontal Line Supervision, SSM/ECB and SUERF Fellow: March 2023 stress: “Deja vu all over again?”
00:14:10 - Cornelia Holthausen, DG, Macroprudential Policy and Financial Stability, ECB: Introduction to, and moderation of, panel discussion
00:16:32 - Viral Acharya, C.V. Starr Professor of Economics, NYU Stern: Silicon Valley Bank and Banking Stress of 2023: Some Reflections
00:42:05 - Til Schuermann, Partner, Co-Head of the Americas Finance, Risk and Public Policy practice, Oliver Wyman Financial Services: Capital and Liquidity Stress Testing
01:03:49 - Francois-Louis Michaud, Executive Director, European Banking Authority: comments
01:19:28 - Stefan Ingves, former Governor, Sveriges Riksbank: comments
01:31:50 – Discussion among panelists
01:39:10 - Cornelia Holthausen, concluding remarks
01:40:30 - Ernest Gnan, closing and farewell

Scientific coordination: Martin Scheicher, ECB and SUERF.
© SUERF 2024. Views expressed are those of the speakers only and not necessarily of their affiliated institutions. For more information on SUERF see: https://www.suerf.org/. For future SUERF events see: https://www.suerf.org/events/. For SUERF Policy Notes and Briefs see: https://www.suerf.org/publications/su.... Become a SUERF member: https://www.suerf.org/membership/.