Fitch: Global banking regulations ‘neutral’ in ’25

Fitch Ratings has projected a ‘neutral’ outlook for global banking regulations in 2025, reflecting a period of relative stability in global rulemaking. This comes as existing regulations, including the final Basel III rules, are being implemented, with expectations of a deregulation drive in the US.

In its latest Bank Regulatory Outlook report, Fitch noted that while rulemaking slows, supervisors are expected to remain alert to potential shocks, such as geopolitical events, that could heighten credit and market risks.

Key areas for attention in the coming year include revisions to the capital numerator within the Basel capital regime and calls from the industry for adjustments to standardised prudential calculation rules.

Attribution: Fitch Ratings

Subediting: M. S. Salama