Financial Stability Board publishes revised good practices for Crisis Management Groups with new note on communication with non-member host authorities

The Financial Stability Board has issued a revised practices paper setting out good practices for Crisis Management Groups (CMGs) of Global Systemically Important Banks to strengthen cross-border crisis preparedness and resolution planning in line with the FSB Key Attributes. The update refreshes the paper first published in November 2021 and adds a supplementary note with implementation observations following the 2023 bank failures, focusing on communication with host authorities that are not members of a CMG. The good practices are drawn from an FSB stocktake conducted in 2020 and CMG members’ experience during the COVID-19 pandemic, with the scope centred on preparedness activities rather than cooperation during an actual crisis. They are organised around 16 desired outcomes covering CMG structure and operation, resolution policy and strategy and resolvability assessments, coordination to enhance firms’ resolvability, and home-host coordination arrangements. The FSB indicated it will continue to monitor how CMG practices evolve and consider future work to promote consistent and effective operation.