IMF: CCP structure increases systemic risk
The likely increase in the number of central counterparties will create more 'pockets of risk', says senior economist
The failure to establish either a single global central counterparty (CCP) or a viable approach to interoperability means the move to central clearing has simply increased the number of institutions in the global financial system that are too big to fail, according to Manmohan Singh, senior economist at the International Monetary Fund.
Speaking at a panel discussion at the Sibos conference in Osaka yesterday, Singh said that despite the efforts of the Group of 20 nations to reduce systemic risk
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