International Financial Law
International Financial Law is a framework of rules, standards and practices that govern international financial markets and transactions. The objective of this framework is to create international financial stability. This stability has to be created in an environment of national jurisdictions, each pursuing their own national interest and governance standards, and is constantly threatened by the consequences of increasing globalization, technological development and financial innovation.
This Research Guide is intended as a starting point for research on International Financial Law. It provides the basic legal materials available in the Peace Palace Library, both in print and electronic format. Handbooks, leading articles, bibliographies, periodicals, serial publications and documents of interest are presented in the Selective Bibliography section. Links to the PPL Catalogue are inserted. The Library's classification index codes 9i. Monetary and Financial Affairs, 161. International Financial Law: In General and Special Subjects and subject heading (keyword) International Financial Law are instrumental for searching through the Catalogue. Special attention is given to our subscriptions on databases, e-journals, e-books and other electronic resources. Finally, this Research Guide features links to relevant websites and other online resources of particular interest.
1. Soft law and the global financial system
Keywords: International financial law, Economic crisis, Soft law,
- Alexander, K. (ed.), Research Handbook on International Financial Regulation, Cheltenham, Elgar, 2012.
- Buckley, R.P., International Financial System: Policy and Regulation, Alphen aan den Rijn, Kluwer Law International, 2008.
- Bamford, C.G., Principles of International Financial Law, Oxford, Oxford University Press, 2011.
- Lastra, M.R., Legal Implications of International Monetary Stability, Oxford, Oxford University Press, 2010, pp. 447-501.
- Wood, P.R., Law and Practice of International Finance, London, Sweet and Maxwell, 2008.
- Brummer, C., Soft Law and the Global Financial System: Rule Making in the 21st Century (2nd. ed.), New York, NY, Cambridge University Press, 2015.
- Buckley, R.P., From Crisis to Crisis: the Global Financial System and Regulating Failure, Alphen aan den Rijn, Kluwer International, 2011.
- Desierto, D.A., Public Policy in International Economic Law: the ICESCR in Trade, Finance and Investment, Oxford, Oxford University Press, 2015.
- Ferran, E. (ed.), The Regulatory Aftermath of the Global Financial Crisis, Cambridge, Cambridge University Press, 2012.
- Fox, D., and W. Ernst (eds.), Money in the Western Legal Tradition: Middle Ages to Bretton Woods, Oxford, Oxford University Press, 2016.
- Geeroms, H. (et al.), The European Union and the Euro: How to Deal with a Currency Built on Dreams, Cambridge, Intersentia, 2014.
- Grant, W., The Consequences of the Global Financial Crisis: the rhetoric of reform and regulation, Oxford, Oxford University Press, 2012.
- Jackson, J.H., T. Cottier and R.M. Lastra (eds.), International Law in Financial Regulation and Monetary Affairs, Oxford, Oxford University Press, 2012.
- Porter, T., Transnational Financial Regulation after the Crisis, London, New York, Routledge, Taylor and Francis Group, 2014.
- Scott, H.S. and A. Gelpern (eds.), International Finance : Transactions, Policy, and Regulation, New York, NY, Foundation Press Thomson Reuters, 2012.
- Weiss, F., and A.J. Kammel, The Changing Landscape of Global Financial Governance and the Role of Soft Law, Leiden, Brill Nijhoff, 2015.
- Wymeersch, E., K.J. Hopt and G. Ferrarini (eds.), Financial Regulation and Supervision: a Post-Crisis Analysis, Oxford, Oxford University Press, 2012.
- Zimmermann, C.D., A Contemporary Concept of Monetary Sovereignty, Oxford, Oxford University Press, 2013.
- Alexander, K., "Rebuilding International Financial Regulation and Basel III”, Journal of Banking Law and Banking, 23 (2011), No. 5, pp. 337-344.
- Brummer, C., "How International Financial Law Works (and How It Doesn't)", Georgetown Law Journal, 99 (2010-11) pp. 257-327.
- Ferran, E., “Crisis-driven Regulatory Reform: where in the World is the EU Going?”, in Ferran, E., N. Moloney, J.G. Hill and J.C. Coffee (eds.), The Regulatory Aftermath of the Global Financial Crisis, Cambridge, Cambridge University Press, 2012, pp. 1-110.
- Giovanoli, M., "The International Financial Architecture and Its Reform after the Global Crisis", in M. Giovanoli (ed.), International Monetary and Financial Law: The Global Crisis, Oxford, Oxford University Press, 2010, pp. 3-39.
- Giovanoli, M., "A New Architecture for the Global Financial Market: Legal Aspects of International Financial Standard Setting", in A.H. Qureshi (ed.), International Economic Law: Critical Concepts in Law, Vol. 2, New York, NY, Routledge, 2011, pp. 195-251.
- Moloney, N., “The Legacy Effects of the Financial Crisis on Regulatory Design in the EU”, in Ferran, E. (ed.), The Regulatory Aftermath of the Global Financial Crisis, Cambridge, Cambridge University Press, 2012, pp. 111-202.
- Shaffer, G., and M. Waibel, “The (Mis)Alignment of the Trade and Monetary Legal Orders”, in T.C. Halliday and G. Shaffer (eds.), Transnational Legal Orders, New York, NY, Cambridge University Press, 2015.
Periodicals, serial publications
- Butterworths Journal of International Banking and Financial Law
- International Financial Law Review
- Journal of International Banking Law and Regulation
1. Soft law and the global financial system
Keywords: International financial law, Economic crisis, Soft law,
Fox, D., and W. Ernst (eds.), Money in the Western Legal Tradition: Middle Ages to Bretton Woods, Oxford, Oxford University Press, 2016.View this title in our link resolver Plinklet
Monetary law is essential to the functioning of private transactions and international dealings by the state: nearly every legal transaction has a monetary aspect. Money in the Western Legal Tradition presents the first comprehensive analysis of Western monetary law, covering the civil law and Anglo-American common law legal systems from the High Middle Ages up to the middle of the 20th century. Weaving a detailed tapestry of the changing concepts of money and private transactions throughout the ages, the contributors investigate the special contribution made by legal scholars and practitioners to our understanding of money and the laws that govern it. Divided in five parts, the book begins with the coin currency of the Middle Ages, moving through the invention of nominalism in the early modern period to cashless payment and the rise of the banking system and paper money, then charting the progression to fiat money in the modern era. Each part commences with an overview of the monetary environment for the historical period written by an economic historian or numismatist. These are followed by chapters describing the legal doctrines of each period in civil and common law. Each section contains examples of contemporary litigation or statute law which engages with the distinctive issues affecting the monetary law of the period. This interdisciplinary approach reveals the distinctive conception of money prevalent in each period, which either facilitated or hampered the implementation of economic policy and the operation of private transactions.
Brummer, C., Soft Law and the Global Financial System: Rule Making in the 21st Century (2nd. ed.), New York, NY, Cambridge University Press, 2015.View this title in our link resolver Plinklet
This book explains how international financial law 'works' and presents an alternative theory for understanding its purpose, operation, and limitations. Drawing on a close institutional analysis of the post-crisis financial architecture, it argues that international financial law is often bolstered by a range of reputational, market, and institutional mechanisms that make it more coercive than classical theories of international law predict. As such, it is a powerful, though at times imperfect, tool of financial diplomacy. Expanded and revised, the second edition of Soft Law and the Global Financial System contains updated material as well as an extensive new chapter analyzing how international standards and best practices have been operationalized in the US and EU in the wake of the financial crisis. It remains an essential tool for understanding global soft law for political scientists, lawyers, economists, and students of financial statecraft.
Weiss, F., and A.J. Kammel, The Changing Landscape of Global Financial Governance and the Role of Soft Law, Leiden, Brill Nijhoff, 2015.View this title in our link resolver Plinklet
This publication provides interdisciplinary perspectives on the changing landscape of global financial governance by exploring the impact and role of soft law, directly or as a precursor of hard law, pertaining to financial governance. Since the shaping of financial governance impacts national, regional and global levels of regulation, different views and arguments contribute to the ongoing discussions about financial regulation. Against this background, this book brings together perspectives of economists and lawyers who have not rallied to one or the other popular call for more regulation as a panacea for the prevention of future global financial crises, calls which have all but drowned out more nuanced scientific
debates. Instead, their analysis of aspects of remedial regulatory policy prescriptions already made or proposed demonstrates that carefully designed soft law can be deployed as a valuable method or tool of mediation between the unrestrained autonomy of dysfunctional markets and overzealously crafted hard law.
Desierto, D.A., Public Policy in International Economic Law: the ICESCR in Trade, Finance and Investment, Oxford, Oxford University Press, 2015.View this title in our link resolver Plinklet
States rejected inequality when they chose to ratify the International Covenant on Economic, Social, and Cultural Rights (ICESCR), but to date the ICESCR has not yet figured prominently in the policy calculus behind States’ international economic decisions. This book responds to the modern challenge of operationalizing the ICESCR in State decision-making in international trade, finance, and investment systems. Differentiating between public policy mechanisms and institutional mandates within international trade, finance, and investment, this book shows legal and policy gateways for States to feasibly translate their fundamental duties to respect, protect, and fulfill economic, social, and cultural rights into their trade, finance, and investment commitments, agreements, and contracts. (...) This book explicates the argument that States’ ICESCR commitments operate as the normative foundation of their trade, finance, and investment decisions.
Porter, T., Transnational Financial Regulation after the Crisis, London, New York, Routledge, Taylor and Francis Group, 2014.View this title in our link resolver Plinklet
The global financial crisis that began in 2007 was the most destructive since the 1930s. The rapid spread of the crisis across borders and the complexity of these cross-border linkages highlighted the importance for authorities of working together in responding to the crisis. This book examines the transnational response that relied heavily on a set of relatively informal transnational regulatory groupings that had been constructed over previous decades. During the crisis these arrangements were made stronger and more inclusive, but they remain very complex. Thousands of pages of new rules have been created by various transnational bodies, and the implementation of these rules relies heavily on domestic law and regulation and private rules and practices. This book analyses this complex response, showing that its overly technical and incremental character, the persistence of tensions between transnational processes and state-centred politics, and the ongoing power of private actors, have made the regulatory response fall short of what is needed.
Zimmermann, C.D., A Contemporary Concept of Monetary Sovereignty, Oxford, Oxford University Press, 2013.View this title in our link resolver Plinklet
Monetary sovereignty is a crucial legal concept dictating that states have sovereignty over their own monetary, financial, and fiscal affairs. However, it does not feature as part of any key instruments of international law, including the Articles of Agreement of the International Monetary Fund. Rather, it has remained a somewhat separate notion, developed under contemporary international law from an assertion of the former Permanent Court of International Justice in 1929. As a consequence of globalization and increasing financial integration and a worldwide trend towards the creation of economic and monetary unions, the principle of monetary sovereignty has undergone significant change. This book examines this evolution in detail, and provides a conceptual framework to demonstrate what this means for the legal and economic challenges faced by the international community. The book examines the historic origins and evolution of the concept of monetary sovereignty, putting it into the context of broader concepts of sovereignty. It argues that monetary sovereignty remains relevant as a dynamic legal concept with both positive and normative components. It investigates the continuing hybridization of international monetary law resulting from changes to its formal and material sources. It then examines the complex phenomenon of exchange rate misalignment under international monetary and trade law, and the increasing regionalization of monetary sovereignty, notably in light of the European sovereign debt crisis. Finally, it assesses the role the concept of monetary sovereignty can play in the reorganization of international finance following the recent global financial crisis.
Vultures Swooping on Debt Carcasses
Vulture funds are an aspect of sovereign debt, which has become an increasingly important topic in the aftermath of the current crisis. In this third blog in a series of Peace Palace Library Blogs about the Global Financial Crisis, I will highlight the ‘problem’ of vulture funds. What happened with vulture funds in the Argentina case and will it set a precedent for the rest of the (developing) world? Why do these vultures like debt carcasses so much?Read more
Tax Havens: Sunny Islands?
‘A tropical, sunny island’, like Cayman, is the first thing that pops on our minds when we think of tax havens. Tropical islands are well-known for secrecy jurisdictions. But are they the only players in the so called ‘secrecy game’? And do tax havens influence the current global financial crisis? Are they worth a holiday?Read more
Cyprus Crisis: Troika go Home?
Lately everyone is turning their eyes to Cyprus. The small Mediterranean country is the latest victim of Europe’s debt crisis, in which several members of the Eurozone were brought to the brink of bankruptcy by a combination of highly indebted banks and unsustainable sovereign debts. Last month, a troika of the European Commission, the European Central Bank and the International Monetary Fund agreed on a rescue plan in respond to Cyprus’ need for a bailout.Read more
P.R.I.M.E. Finance : Open for business!
On 16 January 2012, the P.R.I.M.E. Finance Foundation has started its activities with an opening conference followed by seminars on Dispute Resolution in the Financial Markets in the Peace Palace in The Hague. The Foundation oversees the activities of its Panel of Recognized International Market Experts in Finance (P.R.I.M.E. Finance), chosen for their relevant experience in financial market practice or […]Read more
Germany and Liechtenstein: Tax Evasion Dispute!
The German Federal Intelligence Service paid an informant some 5 million euros for a list with the names of account holders from a Liechtenstein Bank. German investigations thereupon revealed a massive tax evasion scandal! Hundreds of people in Germany are suspected of having stashed away millions of euro in Liechtenstein to escape taxes in Germany.
The tiny Alpine principality of Liechtenstein, a major European tax haven, accused the Germans of attacking its sovereignty and of breaking the law by buying secret (stolen) data and sending in spies to uncover the scandal.
The OECD in Paris criticized the Liechtenstein practice of allowing foreigners to open trusts there anonymously by registering them through a local attorney or trustee.
The policy of “excessive” secrecy of banks in Liechtenstein might have attracted many rich people and more countries are interested in the data bought by the German intelligence agents.
Interestingly a lot of literature on Liechtenstein is about financial matters, trusts, anti-money laundering issues and the transparency of its fiscal regime. Read more on Liechtensteinand its special place in Europe.Read more