International Survey of Integrated Financial Sector Supervision
Despite the intense debate on the advantages and disadvantages of adopting integrated supervision that has taken place in recent years, little is known about the experiences of countries that have adopted it and the obstacles and challenges they ha...
| Main Authors: | , |
|---|---|
| Format: | Policy Research Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2014
|
| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2003/07/2475062/international-survey-integrated-financial-sector-supervision http://hdl.handle.net/10986/18144 |
| Summary: | Despite the intense debate on the
advantages and disadvantages of adopting integrated
supervision that has taken place in recent years, little is
known about the experiences of countries that have adopted
it and the obstacles and challenges they have faced to
implement it. In an attempt to shed light on this area, the
authors present the results of a survey conducted in a group
of 15 countries that have adopted integrated supervision.
After a brief review of the literature on integrated
supervision, the authors examine four topics: 1) The reasons
cited by this group of countries for establishing an
integrated supervisory agency. 2) The scope of regulatory
and supervisory powers of these agencies. 3) The progress of
these agencies in harmonizing their regulatory and
supervisory practices across the intermediaries they
supervise. 4) The practical problems faced by policymakers
in adopting integrated supervision. The survey revealed that
the group of integrated supervisory agencies is not as
homogeneous as it seems. Important differences arise with
regard to the scope of regulatory and supervisory powers the
agencies have been given. In fact, contrary to popular
belief, less than 50 percent of the agencies can be
categorized as mega-supervisors. Another finding is that in
most countries progress toward the harmonization of
prudential regulation and supervision across financial
intermediaries remains limited. Interestingly, the survey
revealed that practically all countries believe they have
achieved a higher degree of harmonization in the regulation
and supervision of banks and securities companies than
between banks and insurance firms. The survey also
identified some practical problems faced by this group of
countries in establishing their unified supervisory
agencies. The authors discuss these problems, along with the
practical lessons and recommendations provided by the 15
agencies to other countries considering integrated
supervision, in the final section of the paper. |
|---|