This workshop coincided with Professor Edward J Kane's time as the Professorial Fellow in Monetary and Financial Economics at the Reserve Bank New Zealand and Victoria University of Wellington, from January to March 2005.
Professor Kane holds the James F Cleary Chair in Finance at Boston College. He publishes extensively in the area of financial stability, in particular, financial institution and services regulation, deposit insurance, banking crises, taxation of the financial sector, the politics of policymaking and financial markets. Professor Kane also has considerable experience working with business and government.
The workshop aimed to advance the thinking on the fair and efficient prevention and management of crises involving systemically important banks. The programme covered several aspects of banking crisis management, including contingency planning, alternative approaches and techniques for dealing with a crisis, cross-border jurisdictional issues, and the role of regulatory cultures. It consisted of a combination of papers and presentations, discussant comments and academic open discussion. Workshop participants come from a variety of backgrounds and institutions within New Zealand and overseas: members of academia, of the banking and financial services industries, and of policy institutions.
Session 1: Alternatives to blanket guarantees for containing a systematic crisis
Containing a systematic crisis: Relicensing vs blanket guarantees
Presented by: Ed Kane (Boston College)
Discussant: Goran Lind (Riksbank) and Keith Hall (Reserve Bank of Australia)
- Download the paper (PDF 315KB)
- Download the discussion slides from Goran Lind (PDF 28KB)
- Download the discussion slides from Keith Hall (PDF 22KB)
Session 2: Contingency planning and crisis management
The role and approach of contingency planning for a financial crisis
Presented by: Goran Lind (Riksbank)
Management of financial crisis in cross-border banks
Presented by: Thorvald Grung Moe (Norges Bank)
Discussant: David Lewis (Australian Prudential Regulation Authority) and Geof Mortlock (Reserve Bank of New Zealand)
- Download the paper (PDF 178KB)
- Download the discussion slides from David Lewis (PDF 136KB)
- Download the discussion slides from Geof Mortlock (PDF 103KB)
Session 3: Alternative approach to crisis management
Deposit insurance in New Zealand?
Presented by: David Tripe (Massey University)
- Download the paper (PDF 40KB)
Resolving systematically important banks
Presented by: Bruce White and Peter Ledingham (Reserve Bank of New Zealand)
Discussant: Peter Hall (ASB Bank)
- Download the paper (PDF 64KB)
Roundtable session: Regulatory culture and bank failure
The role of regulatory culture in the bank failure process
Presented by: Ed Kanye (Boston College)
Panel discussion: Ed Kane (Boston College), Goran Lind (Riksbank), David Lewis (Australian Prudential Regulation Authority), Thorvald Grung Moe (Norges Bank), Anthony Grayson (Bank of New Zealand)