IDEAS home Printed from
   My bibliography  Save this paper

Not all financial regulation is global


  • Nicolas Véron
  • Stephane Rottier


Summary The financial crisis has intensified the focus on financial regula-tion at global level, placing it at the top of the G20 agenda. However, global convergence is made more difficult by financial multipolarity, meaning the rise of emerging economies and its impact on decision-making at global level, and financial reregulation, or the trend towards stronger regulation of financial systems to buttress financial stability, particularly in developed economies. As a result, the ambitious objectives initially set by global leaders have so far not been turned into major international break-throughs, and continued global capital-market integration can no longer be taken for granted. Policy Challenge The global harmonisation of all aspects of financial regulation cannot be achieved. Many elements of financial stability and customer-protection pol-icy can be determined locally. Some competitive distortions and opportuni-ties for regulatory arbitrage will remain inevitable. But action is needed at global level to prevent damaging fragmentation of capital markets. Policy makers should prioritise four key components - (1) building stronger global public institutions, to get a comprehensive analytical pic-ture, set authoritative stan-dards, and foster and monitor the consistency of regulatory practice; (2) globally consis-tent financial information; (3) a globally integrated capital-markets infrastructure; and (4) addressing competitive distortions among global cap-ital-market intermediaries.

Suggested Citation

  • Nicolas Véron & Stephane Rottier, 2010. "Not all financial regulation is global," Policy Briefs 431, Bruegel.
  • Handle: RePEc:bre:polbrf:431

    Download full text from publisher

    File URL:
    Download Restriction: no

    Other versions of this item:


    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Forster , Katrin & Vasardani, Melina A. & Ca' Zorzi, Michele, 2011. "Euro area cross-border financial flows and the global financial crisis," Occasional Paper Series 126, European Central Bank.
    2. Edgardo Demaestri & Gustavo Ferro, 2013. "Analysis of the Integration of Financial Regulation and Supervision to the Central Bank," Ensayos Económicos, Central Bank of Argentina, Economic Research Department, vol. 1(68), pages 75-106, June.
    3. Edgardo Demaestri & Gustavo Ferro, 2015. "The Debate on Integrated Financial Supervision: What is New?," Ensayos Económicos, Central Bank of Argentina, Economic Research Department, vol. 1(72), pages 27-58, June.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bre:polbrf:431. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Bruegel). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.