Tokyo: Chief executives of leading Japanese, European and US banks will meet in London to discuss the future of the financial system, the Nikkei newspaper reported, as the global financial crisis prompts a barrage of new regulatory proposals for the sector.
Banking on reforms: A view of the Excel centre in London, the venue of the upcoming G-20 leaders’ meeting on the global economic crisis. Lefteris Pitarakis / AP
The Japanese business daily said the British government would host the meeting on 24 March, after a Group of Twenty (G-20) finance ministers’ meeting in London next weekend and ahead of a summit of G-20 leaders there on 2 April.
The G-20 summit of big developed and developing countries in London aims to put the world economy on a path to recovery with banks facing strong calls for new regulations ranging from increased supervision of the financial sector to limits on executive bonuses.
Invitations to the meeting of bankers had been sent to leading institutions, including JPMorgan Chase and HSBC, the newspaper said, without naming any sources.
Mitsubishi UFJ Financial Group president Nobuo Kuroyanagi would attend the meeting, which the paper said would discuss regulations to prevent further crises similar to the meltdown of the subprime mortgage market.
The London summit will follow last November’s G-20 crisis meeting in Washington and aims to agree on coordinated actions to revive the global economy, regulate the financial sector and principles for reforming international financial institutions.
In the lead-up to the summit, European leaders have called for tighter global banking supervision while US President Barack Obama has urged a sweeping overhaul of Wall Street regulations.
The European Commission’s proposals range from tougher bank capital rules to streamlining supervision, more transparency in derivatives markets and proposals to penalize banks whose remuneration policies encourage excessive risk-taking.
China said on Saturday that it wanted a major say in talks about reworking the global financial order and that there should be more power for developing countries in the International Monetary Fund and World Bank.