The head of the body that oversees global banking regulation has issued a stern warning that the world cannot afford to slip into a “complacent” assumption that the financial sector has rebounded for good.

Speaking before this week’s G20 meeting in Pittsburgh – when the world’s leading politicians will seek to define a common direction for the future control of the sector – Jaime Caruana, general manager of the Bank for International Settlements and a former governor of Spain’s central bank, said the market rebound should not be misinterpreted.