G20 task force to study Libor reform

BASEL, Switzerland, June 25 (Reuters) - The Financial Stability Board will set up a task force to look at reform of Libor after three banks were fined for rigging the interest rate benchmark.

FSB Chairman Mark Carney said the group will report back next year on how the benchmark should be changed and over what period, based on new international standards.

The FSB is tasked by the world's top economies to coordinate regulation after the financial crisis and Carney said some parts of the financial system have not been fully repaired.

The FSB, which met on Monday, discussed liquidity developments in all major global markets, including China.

"I would say the authorities have the situation well in hand," Carney said of China.