The Banker Shorts – Week ending May 12, 2023 –

Last week, The Banker’s coverage included unravelling what MiCA – the EU’s extensive new crypto regulation – means for banks, and using investor leverage to avert nuclear disaster. 

Opinions ranged from the use of carbon offsets to supercharge clean energy projects in the developing world, as well as the ever-present but now burgeoning litigation risk facing banks. We also shared a piece on how financial services firms can make use of the increasingly popular engagement booster that is gamification.

Our global coverage took us to the US – where larger banks are faring well despite their regional peers’ difficulties – and Latin America, where fintech is struggling to take evenly across the region. We also visited South Korea, bringing you multiple interviews from the Asian Development Bank annual meeting, as well as Uzbekistan, with a sneak preview of this week’s EBRD annual meeting.

In other broadcasts, we released a new episode of the Functional Banking Magic podcast series and a live version of The Banker Midweek, which you can catch up with on thebanker.com.

Trending topics

While bitcoin and its ilk are hardly new kids on the block anymore, it remains the case that much of the activity surrounding crypto assets continues to happen within a legal grey area.

Within the EU at least, however, that all looks set to change. 

“Looking at today’s generation, I think crypto is now part of our world and there is a business case for traditional banks to adopt and embrace that world,” says Aurélia Viémont, banking and finance partner in charge of regulatory matters at law firm CMS.

• How investors can reduce the risk of a nuclear conflict – Aldo Bonati | Click here to read

“There are countless reasons why a socially responsible investor – one who chooses sustainable and responsible investments – should avoid companies involved in the production of nuclear weapons as a viable investment target. Among these, two stand out: a moral imperative and financial materiality.”

Opinion sharers

• Carbon offsets can energise a just energy transition – Ajay Sagar | Click here to read
• Banks must update their tactics as the clouds of litigation gather – Tom Webley | Click here to read
• Taking advantage of gamification in financial services – Jennifer Fuller | Click here to read

Globe at a glance

• US banks report solid Q1 results despite market turmoil – Joy Macknight | Click here to read

Much has been made of the deposit outflows from the smaller banks, but the regional players have not seen such dramatic shifts. And the larger global systemically important banks have even seen deposit inflows, which many have seen as a flight to quality.

Latin America’s regulatory environment, which lags behind those of developed countries, is often described as one of the main challenges for the development of the region’s fintech sector.

It is no wonder that governments in the region are pushing for new laws and regulations to support the industry’s development.

Regular items

Last week on The Banker Board, we covered people moves on the UBS executive board, as well as at NatWest, the European Depositary Bank SA, Citi Global Wealth Investments and KNG Securities International.

Sound and vision

Liz Lumley sits down with Shawbrook Bank and Pega to discuss the fintech partnership and the benefits of a low code platform.

• The EBRD returns to central Asia for its annual meeting – View from EBRD 2023 | Click here to watch

EBRD president Odile Renaud-Basso talks about the bank’s re-engagement with and renewable investment in Uzbekistan and what to expect from this year’s annual meeting in Samarkand.

• Felipe Medalla, governor, Bangko Sentral ng Pilipinas – View from ADB 2023 | Click here to watch

Felipe Medalla, governor of the Philippines’ central bank, Bangko Sentral ng Pilipinas, tells Kimberley Long how the Philippines economy and the peso are performing.

This week, deputy editor Liz Lumley and Middle East and Africa editor John Everington talk about the recent Crypto and Digital Assets Summit, privacy and CBDCs, crypto regulation, African mobile money and venture capital in Saudi Arabia.

• Tomoyuki Kimura, director general, strategy, policy and partnerships department, Asian Development Bank – View from ADB 2023 | Click here to watch

Tomoyuki Kimura, director general, strategy, policy and partnerships department, Asian Development Bank, speaks with The Banker’s Kimberley Long about the ADB’s focus on sustainability and the impact of geopolitics on the region.