Recent developments in international interbank relations (Promisel Report)
In 1991, the Governors of the central bank of the Group of Ten countries established a working group to study recent developments in international interbank relations. The group was asked to focus on the role and interaction of banks in non-traditional markets, notably the markets for derivative instruments, to examine the linkages among various segments of the interbank markets and among the players active in them, and to consider the macroprudential concerns to which these aspects might give rise.
The present report summarises some of the findings and conclusions of the working group. The report builds upon information gained from interviews conducted with market participants in G-10 financial centres in December 1991 and early 1992. It also draws upon some of the insights provided by two previous sudies prepared for the Governors: "The International Interbank Market: A Descriptive Study", published by the BIS in 1983, and "Recent Innovations in International Banking", published by the BIS in 1986.