The Financial Services Agency has urged banks to check their readiness to respond to risks from social media and internet banking after the collapse of several U.S. banks, according to people familiar with the regulator’s thinking.
The FSA asked lenders to prepare crisis management manuals and examine their liquidity and risk management systems, the people said, asking not to be identified because the matter is confidential.
The spread of rumors on message platforms and the ability to quickly withdraw money using mobile banking was widely seen as contributing to the rapid deposit outflows that led to the demise of Silicon Valley Bank and other U.S. regional lenders.