|Dear esteemed APABI colleagues:
It has been 15 years since the crisis of 2008, which has forever changed the regulatory landscape of the financial sector. Now, with the financial turmoil in the first half of the year, as well as the end of the low interest rate era of the past decade, the banking industry is thinking about financial stability in ways that it hasn’t since 2008. All APABI members must think about resilience in various ways, from the traditional credit cycle to more idiosyncratic events like the pandemic and technological changes. AICB in Malaysia will explore this topic in its October virtual conference, which you can find below.
One particular aspect of resilience we are all considering is resilience to the green transition. India's IIBF has produced fascinating research on a potential green deposit mechanism. The role of green bonds and green loans in the sustainability transition is familiar, but deposits are a relatively unexplored channel. Various Indian banks have been offering them since 2018, but until now no generally recognized standards have been issued, and we await the progress of their Framework currently under development.
Regarding community development, TABF was pleased to receive a delegation from Mongolia's BFA this August in order to learn more about cybersecurity and digital transformation. We would also be happy to welcome other APABI members to Taiwan, and look forward to more training exchange and collaboration in the future. As always, please feel free to reply to this email for any feedback or further suggestions!
Dr. Hank C.C. Huang
President, Taiwan Academy of Banking and Finance (TABF)