Indeed, banks’ additional mobilisation of government bonds as Eurosystem collateral currently appears to be relatively small when compared to other asset classes, especially non-marketable additional credit claims. [27] Quarter-end effects have diminished in recent years, owing in part to improvements in euro area banks’ leverage ratios. For a discussion of the effects of regulation on money market volumes, rates and dispersion, including the analysis of quarter-end effects, see Corradin et al (2020), op. cit. [28] Correa, R., Du, W. and Liao, G. (2020), “U.S. Banks and Global Liquidity,” Working Paper. [29] By effectively lowering the cost of holding central bank reserves, the temporary exclusion of central bank reserve holdings from the leverage ratio contributes on the regulatory front to the mitigation of the impact of negative rates on bank profitability, complementing the effect of the two-tier system and the more favourable TLTRO borrowing rate on the monetary policy front. The press release announcing the temporary relief is available here. 23 November 2020  Slides Related topics  Coronavirus  Financial crisis  Monetary policy Banking sector  Policies  Collateral  Liquidity  Disclaimer Please note that related topic tags are currently available for selected content only. European Central Bank Directorate General Communications Sonnemannstrasse 20, 60314 Frankfurt am Main, Germany Tel. : +49 69 1344 7455, email: media@ecb.europa.eu Website: www.ecb.europa.eu Reproduction is permitted provided that the source is acknowledged.  Media contacts  Copyright 2020, European Central Bank  https://www.ecb.europa.eu/press/key/date/2020/html/ecb.sp201123~8d9573b1b1.en.html  7/7
At the end of 2019, just before the pandemic started, the HKMA held an AML/CFT RegTech Forum to explore the role that technology could play in preventing and detecting financial crime. One of the key lessons that transpired from that event was the importance of bringing different parts of the eco-system together to discuss common challenges and pain points with Fintech firms who may be able to offer solutions. And we have followed up across the three breakout groups of banks, what we called accelerators, enablers and collaborators1, over the past year on concrete plans of individual banks. 22. In January this year, we released a report titled “AML/CFT Regtech: Case studies and Insights”. Through that, we shared comprehensive, hands-on experience from banks at different stages of AML/CFT Regtech adoption, and emphasised a number of key insights on the potential for technologies to assist in detecting and preventing money laundering and financial crime. 23. In that guidance, we have also deliberately and explicitly identified specific technologies and data applications, such as data analytics and the use of non-traditional data like IP addresses as well as robotic process automation in handling transaction monitoring alerts. Actually, some of those technologies featured prominently in the successes we saw in identifying and disrupting networks of mule accounts linked to COVID-19 scams and also the rising number of investment scams. 24.