FACTBOX-Range of proposals offered to keep banks sound

(Reuters) - Several groups and agencies have recommended ways to ensure that the global financial system and banks are sound in the wake of the credit crisis triggered by subprime mortgage lending and securitization. They include the following:

FINANCIAL STABILITY FORUM (FSF)

The FSF, a group that includes central bankers and global regulators, is expected to recommend that financial institutions improve risk management by establishing larger buffers for capital and liquidity needs. It is also expected to make the following recommendations to the Group of Seven finance chiefs:

* The global Basel Committee on Banking Supervision should impose higher capital requirements for banks' off-balance sheet securities and complex instruments.

* Central banks should take steps to ensure they can effectively offer liquidity when the financial system is under stress and strengthen plans for dealing with weak or failing banks, whether they are domestic or cross-border institutions.

* Central banks and supervisors should meet more frequently and exchange more information to ensure greater awareness of cross-border risks.

INSTITUTE OF INTERNATIONAL FINANCE (IIF)

The IIF, a global financial services lobbying group, urged tougher voluntary industry standards on a number of issues such as risk management and liquidity management:

* Banks' exposure to conduits and off-balance-sheet vehicles should be covered in liquidity planning.