FSB Publishes Chair’s Letter to G20 Finance Ministers and Central Bank Governors
Overview
The Bank of Japan announced that the Financial Stability Board (FSB) had published on its website on August 31 a letter issued in the chair’s name in connection with the G20 Finance Ministers and Central Bank Governors Meeting. The letter discusses financial stability risks arising from the situation in the Middle East; vulnerabilities including expanding leverage in sovereign bond, private credit, and equity markets; potential cyber risks posed by frontier AI; and the importance of strengthening the resilience of the financial system.
Key points
- The Bank of Japan announced the publication of the FSB chair’s letter.
- The letter points to financial stability risks and market vulnerabilities.
- It refers to cyber risks from frontier AI and the importance of strengthening the resilience of the financial system.
Overview
The Financial Stability Board (FSB) issued a letter in the chair’s name in connection with the G20 Finance Ministers and Central Bank Governors Meeting, held in Asheville, United States, from August 31 to September 1, 2026. According to the Bank of Japan, the letter was published on the FSB website on August 31, 2026.
The letter addresses financial stability risks arising from the situation in the Middle East and highlights multiple vulnerabilities in financial markets alongside risks associated with emerging technologies.
Details
In market-related areas, expanding leverage in sovereign bond, private credit, and equity markets is identified as a vulnerability. The letter treats these issues as matters relevant to financial stability.
In the technology-related area, the letter refers to potential cyber risks posed by frontier AI. The original text does not specify the number or scale of actual incidents or a response deadline.
The letter also refers to the importance of strengthening the resilience of the financial system. For further information, the Bank of Japan directs readers to the publication page on the FSB website, the press release, and the FSB chair’s letter to the G20 Finance Ministers and Central Bank Governors in PDF format.