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Global regulators consider wider net to catch smaller US banks

Demise of Silicon Valley Bank and Signature fuels concerns that existing focus on largest lenders is outdated

Global regulators are considering imposing tougher rules on smaller lenders and requiring all banks to ready themselves for faster runs on deposits as officials search for lessons from the recent turmoil that led to the failure of several midsized US institutions.

The Basel Committee on Banking Supervision, which sets global standards, promised in March to examine whether additional rules were needed in light of a string of recent banking collapses.

No timeframe has been set for the work. But policymakers gathered in Washington for the IMF spring meetings last week told the Financial Times that attention would focus on issues exposed by the demise of Californian institution Silicon Valley Bank.

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