Global financial regulators have outlined a major push to modernise existing rules, strengthen oversight of rapidly expanding private credit markets, and create more consistent approaches to stablecoin regulation in 2026.
The Financial Stability Board (FSB) — the body that coordinates financial rules across G20 countries — confirmed its priorities following a two-day meeting in Saudi Arabia ahead of the G20 leaders’ summit in South Africa.
The upcoming year will also see the United States, under a new Trump administration, take over the G20 chair. While the U.S. government is expected to advocate for lighter regulatory burdens, the FSB emphasized its commitment to maintaining a strong focus on financial vulnerabilities.
FSB Chair and Bank of England Governor Andrew Bailey said the organization will continue to scrutinize risks across the global financial system, noting that several major economies have already begun updating or reviewing their regulatory frameworks. The FSB plans to assess these national initiatives to identify where global alignment could support stability and reduce fragmentation.
One of the most significant areas of attention is the booming private credit market. Regulators highlighted concerns about its scale, rapid evolution, and limited transparency, warning that its growing connections to traditional finance warrant close supervision. Over the next year, the FSB will explore potential risks arising from this expansion and consider ways to improve the data available to regulators.
Crypto-assets and stablecoins remain high on the agenda as well. The FSB reiterated that stablecoins carry vulnerabilities such as bank-run risks and pose regulatory complexities, especially when issued across multiple jurisdictions.
Members also noted stretched asset valuations—particularly in AI-related stocks—and the increasing role of leveraged nonbank entities in government debt markets. These trends, they warned, reinforce the need for coordinated global oversight in the year ahead.
