INDEX. Bank Holding Company Act, 185,201 Bank of Tokyo Ltd., 197 Bank regulation, competition and, abstract, 127 beyond NAFfA, 139

Transcription

1 A Abstract bank regulation, competition and, 127 cross-border banking activity, 217 cross-border payments, 247 deposit insurance reform, U.S., financial conglomeration, 195 financial integration, 159, 169 financial-sector development, economic growth and, 3 financial services, trade in, public choice, 145 international agreements, 49 market forces, strengthening, 211 Mexico, banking crisis, 229 regional financial integration, European, systemic risk, banking, 37 U.S. legislative agenda, 181 Accounting cross-border business, agreements to facilitate conduct of, 56 harmonization, financial integration, regulatory issues, 176 ACSS See Automated Clearing and Settlement System Ancillary banking services undertaking, defined, European Union, financial supervision, 110 Automated Clearing and Settlement System, 255 B Bank Holding Company Act, 185,201 Bank of Tokyo Ltd., 197 Bank regulation, competition and, abstract, 127 beyond NAFfA, 139 Canada, international regulation, Mexico, , 138 NAFfA, overview, , , 140 United States, , Banking crisis, Mexico, 93-97, 95t survey data, 95t Banking Fund for Protection of Savings, 243 Banking mergers, Banking scope, expansion of, Basle Committee on Banking Supervision, 70 BIS. See Basle Committee on Banking Supervision Branch defined, European Union, financial supervision, 10 I establishment of, European Union, financial supervision, establishment of, c C & S/Sovran and NCNB, merger, 196 Canada bank regulation. competition and cross-border banking U.S. banking, financial integration, CECOBAN. See Centro de Computo Bancario Centro de Computo Bancario, 256 Chemical Banking Corp. and Chase Manhattan, merger, 196 Classes of banks, variety of regulatory entitlements, trade in financial services and, Committee on Payment and Settlement Systems, 73 Competition, currency, suppression of, Poland, 86-87t, 89-91

2 260 Competition extention, cross-border, 6O-M European Communities Second Banking and Investment Services Directives, 63 Financial Services Agreement, 63 Free Trade Agreement, 61 North American Free Trade Agreement, 62 OECD Codes of Liberalization, 61 Consolidated supervision cross-border banking, llo-11 Continental Bank and Bank of America, merger, 196 Contract clauses, harmonized, cross-border business, agreements to facilitate conduct of, 58 Corrective action provisions, Federal Deposit Insurance Corporation Improvement Act of 1991, deposit insurance reform, 30t CPSS. See Committee on Payment and Settlement Systems Credit exposures, large, regulation of, 109 Credit institution 101 Germany, financial supervision, 113 licensing of, Poland, financial supervision, Crisis management, international agreements, Cross-border banking, abstract, 217 agencies, 225 branches, 225 Canada, 222, 223 competition extention, 6O-M consolidated supervision, facilitation of, financial integration, home country responsibilities, 219 host country responsibilities, 220 information sharing, Mexico, overview, , subsidiary banks, supervision, consolidated, U.S., 222, Cross-border payment" abstract, 247 cross-border banking, foreign check clearing, fees, delays, local banking, Maastricht Treaty on European Union, 248 models, national check and electronic payment systems, North American Free Trade Agreement, 247 overview, , payment system initiatives, Cross ownership, market forces, strengthening, 211 Currency competition, suppression of, Poland, 86-87t, Currency risk, vs. country risk, size of currency risk, Canada, D Deposit insurance defined, European Union, financial supervision, developing economies, bank problems in, Germany, financial supervision, 115 Poland, financial supervision, 120 reform, transitional economies and, 17 U.S., 27-32, 30t Developing economies, deposit insurance reform and, 17 Disclosure, firm-specific information, cross-border business, agreements to facilitate conduct of, 57 Disclosure standards, cross-border business, agreements to facilitate conduct of, 56 Drexel-Burnham-Lambert, failure of, 68 E Economic growth, financial-sector development and, 2-15 abstract, 3 macroeconomic stability, and reform of financial system, overview, 3-4, preconditions, to sound finance, institutional, 8-10 "stages," financial development, 6-8 ECSC. See Euro-Currency Standing Committee Equilibrium solution, homelhost-country regulators, international bank regulation, Euro-Currency Standing Committee, 72 European Communities Second Banking and Investment Services Directives, 63 European Community, directives of, regional financial integration and, European Union credit institution, defined, 101 definitions, 10 I, 102t, lo3t deposit insurance, financial holding company, defined, 110 financial institution, defined, 101 framework, freedom, provide services, investment firm, defined, 10 I investment service, defined, 10 I investment services directive, annex of, 103t large credit exposures, regulation of, 109

3 261 F licensing, credit institution/investment firm, mixed-activity holding company, defined, 110 participation, defined, III right of establishment, second banking directive, annex of, 102t services between member states, freedom to provide, solvency requirements, solvency supervision, harmonized, subsidiary, defined, III supervision, banks, investment firms, supervisory equity capital, definition of, Facilitation, cross-border business, international agreements, contract clauses, harmonized, 58 firm-specific information, disclosure of, 57 harmonized accounting, 56 United Nations Commission on International Trade Law, 59 FAMEVAL See Support Fund for Stock Exchange FDIC, See Federal Deposit Insurance Corporation Federal deposit insurance, 207 Federal Deposit Insurance Corporation, 187 Federal Deposit Insurance Corporation Improvement Act of 1991, prompt corrective action provisions, deposit insurance reform, 30t Federal Home Loan Bank, 183 Federal Home Loan Mortgage Corporation, 190 Federal National Mortgage Association, 190 Corporation, 186 Corporation Resolution Fund, 188 FHLB. See Federal Home Loan Bank FHLMC. See Federal Home Loan Mortgage Corporation Finance trends, international banking, finance agreements, Financial conglomeration, abstract, 195 Bank Holding Company Act, 201 Bank of Tokyo Ltd., 197 banking mergers, banking scope, expansion of, corporate control, 198 cost savings, 198 diversification, 199 federal deposit insurance, 207 financial innovation, Kansallis-Osake Pankki, 197 market power, Melita, 197 Mitsubishi Bank Ltd., 197 National Commission on Financial Institutions Reform, Recovery and Enforcement, 207 Neal-Riegle Interstate Banking Act, 195 nonfinancial divestitures, contrasted, 203-6, 205 oligopolistic pricing, 208 overview, , 196t, 208 Swiss Bank Corporation, 197 taxpayer liability, expanded, 207 Union Bank of Finland, 197 U.S. bank mergers, 196t Financial holding company, defined, 110 Financial institution, defined 10 I Germany, financial supervision, 113 Financial Institution Reform, Recovery, and Enforcement Act of 1989, 188 Financial integration Canadian, U.S. banking industries, cross-border banking, regulatory issues, Financial-sector development, economic growth and, 2-15 abstract, 3 macroeconomic stability, and reform of financial system, overview,3-4,12-13 preconditions, to sound finance, institutional, 8-10 "stages," financial development, 6-8 Financial services, trade in, public choice, , abstract, 145 classes of banks, variety of regulatory entitlements, overview, public choice model, financial regulatory system, state bank, vs. national bank interests, trade implications, Financial Services Agreement, 63 Financial stability, agreements regarding, agreement, achievement of, purpose, Drexel-Burnham-Lambert, failure of, 68 purpose of agreements, specific agreements, Financial system reform, macroeconomic stability and, Firm-specific information, disclosure of, cross-border business, agreements to facilitate conduct of, 57 First Chicago and NBD Bancorp, merger, 196 First Fidelity and First Union, merger, 196

4 262 FNMA. See Federal National Mortgage Association FOBAPROA. See Banking Fund for Protection of Savings Foreign check clearing. fees. delays Fragility of banking deposit insurance reform perception of. deposit insurance reform Free Trade Agreement. 61 FSA. See Financial Services Agreement FSLIC. See Federal Savings and Loan Insurance Corporation G Germany regional financial integration. laws. 122 supervision. banks. investment firms Glass-Steagall Act Globalization. Canadian. U.S. banking Growth. economic. financial-sector development and abstract, 3 macroeconomic stability. and reform of financial system overview preconditions. to sound finance. institutional "stages." financial development H Harmonized accounting. cross-border business. agreements to facilitate conduct of. 56 Harmonized contract clauses. cross-border business. agreements to facilitate conduct of. 58 Harmonized solvency supervision. European Union. financial supervision Holding company defined. financial. European Union. 110 mixed-activity. defined. European Union. financial supervision. I 10 Home-country principle. mutual recognition and. international bank regulation and. 130 Home country responsibilities. cross-border banking. 219 Homelhost-country principle. joint. international bank regulation Homelhost-country regulators. international bank regulation. equilibrium solution. 13 It Host-country principle. international bank regulation and Host country responsibilities. cross-border banking. 220 Housing-fiance GSE IBBEA. See Interstate Banking and Branching Efficiency Act Information sharing. cross-border banking Information systems. financial integration. regulatory issues. 177 Insolvent banks. deposit insurance reform and Institutional preconditions. to sound finance Insurance. on deposits. See Deposit insurance Integration. financial. Canadian. U.S. banking industries International agreements. 49 abstract. 49 banking. finance trends cross-border business. agreements to facilitate conduct of cross-border competition extention financial stability. agreements regarding need for overview. SO purpose of International supervisory bodies. recommendations of. regional financial integration and Interstate Banking and Branching Efficiency Act. 183 Investment firm. defined. European Union. financial supervision. 101 Investment firm licensing. European Union. financial supervision Investment service. defined. European Union. financial supervision. 101 Investment services directive. annex of. European Union. financial supervision. l03t J Joint homelhost-country principle. international bank regulation K Kansallis-Osake Pankki. 197 KeyCorp and Society. merger. 196 L Licensing

5 263 M credit institution, Germany, financial supervision, 114 credit institution/investment firm, European Union, financial supervision, Maastricht Treaty on European Union, 248 Macroeconomic stability, and reform of financial system, Market forces, strengthening, abstract, 211 cross ownership, 211 Glass-Steagall Act, 212 overview, , 214 Member states, third countries, services between, freedom to provide, European Union, financial supervision, Merita, 197 Mexico bank regulation, competition and, , 138 banking crisis, 93-97, 95t, cross-border banking, exchange, payments provisions in, 86t-87t trade, finance of, 84-87, 86-87t transformation process, financial system, Midatlantic and PNC Bank, merger, 196 Mitsubishi Bank Ltd., 197 Mixed-activity holding company, defined, 110 Models, systemic risk, banking, 37 Mutual recognition, home-country principle, international bank regulation and, 130 N NAFfA. See North American Free Trade Agreement National bank interests, vs. state bank, trade in financial services, National Commission on Financial Institutions Reform, Recovery and Enforcement, 207 NCFIRRE. See National Commission on Financial Institutions Reform, Recovery and Enforcement Neal-Riegle Interstate Banking Act, 195 North American Free Trade Agreement, 62 o OECD Codes of Liberalization, 61 p Participation, defined, European Union, financial supervision, III Poland currency competition, suppression of, 86-87t, institutional weaknesses, in financial structure, 92 regional financial integration, laws, 122 supervision, banks, investment firms, Preconditions, to sound finance, institutional, 8-10 Prompt corrective action provisions, Federal Deposit Insurance Corporation Improvement Act of 1991, deposit insurance reform, 30t Public choice model, financial regulatory system, Purpose, of international banking, finance agreements, R Reform, deposit insurance, U.S., 27-32, 30t abstract, developing economies, 17 Federal Deposit Insurance Corporation Improvement Act of 1991, 30t fragility, of banking, insolvent banks, overview, 18,32-33 regulation and, safety net, transitional economies and, 17 Regional financial integration, European, abstract, banks, condition of, credit system, defects, currency risk, predominance over country risk,87-89 European Union, supervision, regulation in, Germany, supervision, regulation in, Mexico, banking crisis, 93-97, 95t overview, 84, 97-98, Poland, currency competition, suppression of, 86-87t, Regulation, deposit insurance reform and, Regulatory entitlements, variety of, with classes of banks, trade in financial services and, Reliance issues, financial integration, regulatory issues, 177 Resolution Funding Corporation, 188

6 264 s Safety net, deposit insurance refonn and, Sasser banks, 188 Security Pacific and Bank of America, merger, 196 Services between member states freedom to provide, European Union, financial supervision, provision of. European Union. financial supervision Solvency requirements, European Union, financial supervision Solvency supervision Gennany, financial supervision, harmonized, European Union. financial supervision, Poland. financial supervision Stability. macroeconomic financial system refonn and refonn of financial system and Stages. of financial development. 6-8 State bank, vs. national bank interests, trade in financial services, Stylized banking system, model economy with, systemic risk and, Subsidiaries, European Union, financial supervision, establishment of, Subsidiary banks, cross-border banking, Supervisory authorities Gennan banking sector and international, recommendations of, regional financial integration and, Support Fund for Stock Exchange. 243 Swiss Bank Corporation, 197 Systemic risk, banking, abstract. 37 model economy. with stylized banking system overview systemic risk. defined T Telecommunications law. impact of Temporary Capitalization Program. PROCAPTE. 236 Third countries. member states. services between. freedom to provide, European Union. financial supervision, Trade in financial services, , abstract. 145 classes of banks. variety of regulatory entitlements, overview, public choice model. financial regulatory system u state bank, vs. national bank interests, trade implications, UNCITRAL. See United Nations Commission on International Trade Law Union Bank of Finland. 197 Unitary Savings and Loan Holding Company Act, 192 United Nations Commission on International Trade Law. 59 United States. Canada. financial integration. I 58..{i7 abstract. 159 bank regulation. international issues in foreign banking presence. in United States. Canada. 16lt foreign-owned banks. in Canada. 163 NAFTA and, overview, 159-{j() {)7 return on. banks in Canada, 165 United States bank mergers, 196t United States bank regulation. competition and United States cross-border banking. 222, United States legislative agenda, abstract. 181 Bank Holding Company Act. 185 bank -powers Federal Deposit Insurance Corporation. 187 Federal Home Loan Bank, 183 Federal Home Loan Mortgage Corporation, 190 Federal National Mortgage Association 190 Corporation, 186 Corporation Resolution Fund. 188 Financial Institution Reform. Recovery. and Enforcement Act of 1989, 188 Glass-Steagall Act, 185 government-sponsored enterprise, 190 housing-fiance GSE Interstate Banking and Branching Efficiency Act, 183 overview regulatory-relief Resolution Funding Corporation. 188 SAIF-recapitalization, Sasser banks, 188 telecommunications law, impact of turf battle, Fed. OCC Unitary Savings and Loan Holding Company Act, 192