Imminent changes in capital markets and insurance legislation will give the kingdom’s banks the chance to expand their capabilities.

Europe and the US banking systems may have money to spare – but banks appear to have learned not to merge just for the sake of size.

Concerns remain that double-counting of assets is a disaster waiting to happen.

Mervyn Davies, group chief executive of Standard Chartered, shares his vision of Asia with The Banker.

Foreign banks are already checking out local acquisitions in the run up to the full liberalisation of the Malaysian banking market in 2007. Bank Negara, the central bank of Malaysia, will then allow foreign banks to buy local ones, although in the next few years it will gradually allow some foreign banks to open more branches and have off-site ATMs.

Banorte is now the bank to watch in Mexico. It is the only 100% Mexican-owned institution left in a market that is receiving a strong vote of confidence from outsiders, most recently shown by Spain’s BBVA offering $4.1bn for the 40% of Bancomer it does not already own.

The European Banking Federation (FBE) is working with the European Commission to assess whether any EU legislation is required for the rating agencies industry.

The central bank of Iraq (CBI) announced in early February that three foreign banks, HSBC Holdings, National Bank of Kuwait and Standard Chartered Bank, had been selected to proceed to the final stage of the foreign bank licensing process.

Austria’s leading banks have arranged a successful $200m syndicated loan for Romania’s largest bank, Banca Comerciala Romana (BCR).

This month, The Banker publishes its first ranking of trade conditions for Latin America based on 2002 data.