Different financial rules hinder Covid-19 response

This fragmentation has been thrown into sharp relief by the COVID-19 pandemic as it could limit banks ability to lend to companies in countries hard hit by the virus.

HONG KONG: Banks' obligations to keep cash ‘ring-fenced’ within countries could reduce lending to Asian economies grappling with the fallout from the new Covid-19 coronavirus outbreak, a financial industry group said on Wednesday in a report.

The need to run separate and different systems in different jurisdictions is a long-standing complaint of banks and asset managers, particularly in Asia where many operate in several markets.