‘Shadow banking’ hits $80T in 2014

ZURICH: The value of unregulated “shadow banking” rose to some $80 trillion (74 trillion euros) last year, according to a report Thursday by the Financial Stability Board (FSB), which advises G20 states on banking reform and oversees regulation of the global financial system.

The report, issued ahead of the upcoming G20s summit in Antalya, said shadow banking transactions not subject to regulatory oversight grew by $2 trillion across 2014 on a broad measure covering 26 jurisdictions and the euro area as a whole, representing some 80 percent of global GDP and 90 percent of global financial system assets.