El Salvador Financial Sector Assessment Program Update : Basel Core Principles for Effective Banking Supervision
This assessment of the Basel Core Principles (BCP) was conducted as part of the financial sector assessment program (FSAP) update evaluation of the El Salvador financial system from April 22 to May 10, 2010. The supervisory framework was assessed a...
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| Format: | Report |
| Language: | English en_US |
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Washington, DC
2017
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| Online Access: | http://documents.worldbank.org/curated/en/322591468043750707/El-Salvador-Basel-core-principles-for-effective-banking-supervision-assessment-of-compliance http://hdl.handle.net/10986/27734 |
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okr-10986-27734 |
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oai_dc |
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Digital Repository |
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Foreign Institution |
| institution |
Digital Repositories |
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World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
ACCOUNTABILITY ACCOUNTANT ACCOUNTING ACCOUNTING STANDARDS ADMINISTRATIVE COSTS ARBITRAGE ASSET BASE ASSET CLASSIFICATION ASSET PORTFOLIO AUDITING AUTONOMY BANK SUPERVISION BANKING ASSETS BANKING INDUSTRY BANKING INSTITUTION BANKING LAW BANKING SECTOR BANKING SUPERVISION BANKING SYSTEM BANKRUPTCY BANKS BONDS CAPACITY BUILDING CAPACITY CONSTRAINTS CAPITAL ADEQUACY CAPITAL BASE CAPITAL FLOWS CAPITAL MARKETS CAPITAL REQUIREMENT CAPITAL REQUIREMENTS CENTRAL BANK CHECKS COLLATERAL COMMERCIAL BANKS COMMERCIAL REGISTRY CONFLICT OF INTEREST CONFLICTS OF INTEREST CONFLICTS OF INTERESTS CONSOLIDATED SUPERVISION CONSUMER PROTECTION CONVERTIBLE BONDS COOPERATIVE BANKING COOPERATIVE BANKS CORPORATE GOVERNANCE COUNTRY RISK CREDIBILITY CREDIT CARD CREDIT CARDS CREDIT INFORMATION CREDIT INSTITUTION CREDIT RISK CREDIT RISK MANAGEMENT CREDIT RISKS CREDITWORTHINESS CUSTODY DEBT DEBTOR DEBTORS DEBTS DECENTRALIZATION DEFAULTS DEMAND FOR CREDIT DEPOSIT DEPOSIT INSURANCE DEPOSITORS DEPOSITS DERIVATIVES DEVELOPMENT BANK DOMESTIC BANKS DOMESTIC CREDIT DUE DILIGENCE ECONOMIC GROWTH EQUITY FUND EXTERNAL AUDITORS FACE VALUE FINANCIAL ASSETS FINANCIAL CONGLOMERATES FINANCIAL CRISES FINANCIAL CRISIS FINANCIAL INFORMATION FINANCIAL INSTITUTION FINANCIAL INSTITUTIONS FINANCIAL MARKET FINANCIAL MARKETS FINANCIAL SECTOR FINANCIAL SERVICES FINANCIAL STABILITY FINANCIAL STATEMENTS FINANCIAL STRENGTH FINANCIAL SYSTEM FOREIGN BANK FOREIGN BANKS FOREIGN CURRENCY FOREIGN LOANS FOREIGN PENETRATION HOST COUNTRY HUMAN RESOURCE HUMAN RESOURCES ILLIQUIDITY INDIVIDUAL ACCOUNTS INDIVIDUAL LOANS INFLATION INFORMATION TECHNOLOGY INSURANCE INSURANCE COMPANIES INSURANCE POLICY INTANGIBLE INTANGIBLE ASSET INTANGIBLE ASSETS INTEREST RATE INTEREST RATE RISK INTEREST RATE RISKS INTERNAL CONTROLS INTERNATIONAL ACCOUNTING STANDARDS INTERNATIONAL BANK INTERNATIONAL BANKS INTERNATIONAL STANDARDS ISSUANCE LAWS LEGAL AUTHORITY LEGAL FRAMEWORK LEGAL IMPEDIMENTS LEGAL PROTECTION LEGAL PROVISIONS LENDER LENDER OF LAST RESORT LENDING BEHAVIOR LETTERS OF CREDIT LIABILITY LIENS LIQUIDITY RATIOS LIQUIDITY RISK LIQUIDITY RISKS LITIGATION LOAN LOAN LOSS PROVISIONS LOAN PORTFOLIO LOCAL BANKS MACROECONOMIC POLICIES MARKET RISK MARKET RISKS MARKET SHARE MARKET STRUCTURE MINIMUM CAPITAL ADEQUACY RATIO MINISTRIES OF FINANCE MONETARY FUND MORTGAGE MORTGAGE LOANS MORTGAGES NONPERFORMING LOANS NPL OFF BALANCE SHEET OFF BALANCE SHEET ITEMS OFFSITE MONITORING OFFSITE SUPERVISION OPERATIONAL INDEPENDENCE OPERATIONAL RISK OPERATIONAL RISKS OWNERSHIP STRUCTURE OWNERSHIP STRUCTURES PENSION PENSION FUNDS POLITICAL UNCERTAINTY PORTFOLIOS PRIMARY CAPITAL PRIVATE BANKS PRIVATE CAPITAL PRIVATE SECTOR DEVELOPMENT PROFITABILITY PROVISIONING RULES PRUDENTIAL REGULATION PRUDENTIAL REGULATIONS PRUDENTIAL REQUIREMENTS PRUDENTIAL STANDARDS PRUDENTIAL SUPERVISION PUBLIC CALL RATING AGENCIES RECAPITALIZATION REGIONAL BANKS REGULATORY FRAMEWORK REMITTANCES REORGANIZATION REPAYMENT REPAYMENT CAPACITY REPO RESERVE RESERVE FUND RESERVES RETAINED EARNINGS RETURN RETURN ON ASSETS RISK AVERSION RISK MANAGEMENT RISK MANAGEMENT POLICIES RISK MANAGEMENT STRATEGIES RISK PROFILE RISK PROFILES RISK WEIGHTED ASSETS SALES OF ASSETS SAVINGS SECURITIES SEIZURE SHAREHOLDER SHAREHOLDERS SOLVENCY SOVEREIGN RISK STATE BANKS STOCK EXCHANGE STOCK MARKET SUBORDINATED DEBT SUBSIDIARIES SUBSIDIARY SUPERVISION OF BANKS SUPERVISORY AGENCY SUPERVISORY AUTHORITY SUPERVISORY FRAMEWORK SUPERVISORY POWERS SUPPLEMENTARY CAPITAL TRADE FLOWS TRANSFER RISKS TRANSPARENCY UNDERLYING ASSET VALUATION VALUATIONS WAREHOUSES WARRANTS |
| spellingShingle |
ACCOUNTABILITY ACCOUNTANT ACCOUNTING ACCOUNTING STANDARDS ADMINISTRATIVE COSTS ARBITRAGE ASSET BASE ASSET CLASSIFICATION ASSET PORTFOLIO AUDITING AUTONOMY BANK SUPERVISION BANKING ASSETS BANKING INDUSTRY BANKING INSTITUTION BANKING LAW BANKING SECTOR BANKING SUPERVISION BANKING SYSTEM BANKRUPTCY BANKS BONDS CAPACITY BUILDING CAPACITY CONSTRAINTS CAPITAL ADEQUACY CAPITAL BASE CAPITAL FLOWS CAPITAL MARKETS CAPITAL REQUIREMENT CAPITAL REQUIREMENTS CENTRAL BANK CHECKS COLLATERAL COMMERCIAL BANKS COMMERCIAL REGISTRY CONFLICT OF INTEREST CONFLICTS OF INTEREST CONFLICTS OF INTERESTS CONSOLIDATED SUPERVISION CONSUMER PROTECTION CONVERTIBLE BONDS COOPERATIVE BANKING COOPERATIVE BANKS CORPORATE GOVERNANCE COUNTRY RISK CREDIBILITY CREDIT CARD CREDIT CARDS CREDIT INFORMATION CREDIT INSTITUTION CREDIT RISK CREDIT RISK MANAGEMENT CREDIT RISKS CREDITWORTHINESS CUSTODY DEBT DEBTOR DEBTORS DEBTS DECENTRALIZATION DEFAULTS DEMAND FOR CREDIT DEPOSIT DEPOSIT INSURANCE DEPOSITORS DEPOSITS DERIVATIVES DEVELOPMENT BANK DOMESTIC BANKS DOMESTIC CREDIT DUE DILIGENCE ECONOMIC GROWTH EQUITY FUND EXTERNAL AUDITORS FACE VALUE FINANCIAL ASSETS FINANCIAL CONGLOMERATES FINANCIAL CRISES FINANCIAL CRISIS FINANCIAL INFORMATION FINANCIAL INSTITUTION FINANCIAL INSTITUTIONS FINANCIAL MARKET FINANCIAL MARKETS FINANCIAL SECTOR FINANCIAL SERVICES FINANCIAL STABILITY FINANCIAL STATEMENTS FINANCIAL STRENGTH FINANCIAL SYSTEM FOREIGN BANK FOREIGN BANKS FOREIGN CURRENCY FOREIGN LOANS FOREIGN PENETRATION HOST COUNTRY HUMAN RESOURCE HUMAN RESOURCES ILLIQUIDITY INDIVIDUAL ACCOUNTS INDIVIDUAL LOANS INFLATION INFORMATION TECHNOLOGY INSURANCE INSURANCE COMPANIES INSURANCE POLICY INTANGIBLE INTANGIBLE ASSET INTANGIBLE ASSETS INTEREST RATE INTEREST RATE RISK INTEREST RATE RISKS INTERNAL CONTROLS INTERNATIONAL ACCOUNTING STANDARDS INTERNATIONAL BANK INTERNATIONAL BANKS INTERNATIONAL STANDARDS ISSUANCE LAWS LEGAL AUTHORITY LEGAL FRAMEWORK LEGAL IMPEDIMENTS LEGAL PROTECTION LEGAL PROVISIONS LENDER LENDER OF LAST RESORT LENDING BEHAVIOR LETTERS OF CREDIT LIABILITY LIENS LIQUIDITY RATIOS LIQUIDITY RISK LIQUIDITY RISKS LITIGATION LOAN LOAN LOSS PROVISIONS LOAN PORTFOLIO LOCAL BANKS MACROECONOMIC POLICIES MARKET RISK MARKET RISKS MARKET SHARE MARKET STRUCTURE MINIMUM CAPITAL ADEQUACY RATIO MINISTRIES OF FINANCE MONETARY FUND MORTGAGE MORTGAGE LOANS MORTGAGES NONPERFORMING LOANS NPL OFF BALANCE SHEET OFF BALANCE SHEET ITEMS OFFSITE MONITORING OFFSITE SUPERVISION OPERATIONAL INDEPENDENCE OPERATIONAL RISK OPERATIONAL RISKS OWNERSHIP STRUCTURE OWNERSHIP STRUCTURES PENSION PENSION FUNDS POLITICAL UNCERTAINTY PORTFOLIOS PRIMARY CAPITAL PRIVATE BANKS PRIVATE CAPITAL PRIVATE SECTOR DEVELOPMENT PROFITABILITY PROVISIONING RULES PRUDENTIAL REGULATION PRUDENTIAL REGULATIONS PRUDENTIAL REQUIREMENTS PRUDENTIAL STANDARDS PRUDENTIAL SUPERVISION PUBLIC CALL RATING AGENCIES RECAPITALIZATION REGIONAL BANKS REGULATORY FRAMEWORK REMITTANCES REORGANIZATION REPAYMENT REPAYMENT CAPACITY REPO RESERVE RESERVE FUND RESERVES RETAINED EARNINGS RETURN RETURN ON ASSETS RISK AVERSION RISK MANAGEMENT RISK MANAGEMENT POLICIES RISK MANAGEMENT STRATEGIES RISK PROFILE RISK PROFILES RISK WEIGHTED ASSETS SALES OF ASSETS SAVINGS SECURITIES SEIZURE SHAREHOLDER SHAREHOLDERS SOLVENCY SOVEREIGN RISK STATE BANKS STOCK EXCHANGE STOCK MARKET SUBORDINATED DEBT SUBSIDIARIES SUBSIDIARY SUPERVISION OF BANKS SUPERVISORY AGENCY SUPERVISORY AUTHORITY SUPERVISORY FRAMEWORK SUPERVISORY POWERS SUPPLEMENTARY CAPITAL TRADE FLOWS TRANSFER RISKS TRANSPARENCY UNDERLYING ASSET VALUATION VALUATIONS WAREHOUSES WARRANTS International Monetary Fund World Bank El Salvador Financial Sector Assessment Program Update : Basel Core Principles for Effective Banking Supervision |
| geographic_facet |
Latin America & Caribbean El Salvador |
| description |
This assessment of the Basel Core
Principles (BCP) was conducted as part of the financial
sector assessment program (FSAP) update evaluation of the El
Salvador financial system from April 22 to May 10, 2010. The
supervisory framework was assessed against the BCP
methodology issued in October 2006. The assessment of
compliance with each principle is made on a qualitative
basis. A four-part assessment system is used: compliant;
largely compliant; materially noncompliant; and
noncompliant. A largely compliant assessment is given if
only minor shortcomings are observed, and these are not seen
as sufficient to raise serious doubts about the
authority's ability to achieve the objective of that
principle. A materially noncompliant assessment is given
when the shortcomings are sufficient to raise doubts about
the authority's ability to achieve compliance, but
substantive progress has been made. A noncompliant
assessment is given when no substantive progress toward
compliance has been achieved. The ratings assigned during
this assessment are not comparable to the ones assigned in
the 2000 FSAP, as the bar to measure the effectiveness of a
supervisory framework has been raised in the new
methodology. This paper is structures as follows:
introduction; information and methodology used for
assessment; institutional and macroeconomic setting and
market structure- overview; preconditions for effective bank
supervision; main findings; and recommended action plan and
authorities' response. |
| format |
Report |
| author |
International Monetary Fund World Bank |
| author_facet |
International Monetary Fund World Bank |
| author_sort |
International Monetary Fund |
| title |
El Salvador Financial Sector Assessment Program Update : Basel Core Principles for Effective Banking Supervision |
| title_short |
El Salvador Financial Sector Assessment Program Update : Basel Core Principles for Effective Banking Supervision |
| title_full |
El Salvador Financial Sector Assessment Program Update : Basel Core Principles for Effective Banking Supervision |
| title_fullStr |
El Salvador Financial Sector Assessment Program Update : Basel Core Principles for Effective Banking Supervision |
| title_full_unstemmed |
El Salvador Financial Sector Assessment Program Update : Basel Core Principles for Effective Banking Supervision |
| title_sort |
el salvador financial sector assessment program update : basel core principles for effective banking supervision |
| publisher |
Washington, DC |
| publishDate |
2017 |
| url |
http://documents.worldbank.org/curated/en/322591468043750707/El-Salvador-Basel-core-principles-for-effective-banking-supervision-assessment-of-compliance http://hdl.handle.net/10986/27734 |
| _version_ |
1764464481094598656 |
| spelling |
okr-10986-277342021-04-23T14:04:42Z El Salvador Financial Sector Assessment Program Update : Basel Core Principles for Effective Banking Supervision International Monetary Fund World Bank ACCOUNTABILITY ACCOUNTANT ACCOUNTING ACCOUNTING STANDARDS ADMINISTRATIVE COSTS ARBITRAGE ASSET BASE ASSET CLASSIFICATION ASSET PORTFOLIO AUDITING AUTONOMY BANK SUPERVISION BANKING ASSETS BANKING INDUSTRY BANKING INSTITUTION BANKING LAW BANKING SECTOR BANKING SUPERVISION BANKING SYSTEM BANKRUPTCY BANKS BONDS CAPACITY BUILDING CAPACITY CONSTRAINTS CAPITAL ADEQUACY CAPITAL BASE CAPITAL FLOWS CAPITAL MARKETS CAPITAL REQUIREMENT CAPITAL REQUIREMENTS CENTRAL BANK CHECKS COLLATERAL COMMERCIAL BANKS COMMERCIAL REGISTRY CONFLICT OF INTEREST CONFLICTS OF INTEREST CONFLICTS OF INTERESTS CONSOLIDATED SUPERVISION CONSUMER PROTECTION CONVERTIBLE BONDS COOPERATIVE BANKING COOPERATIVE BANKS CORPORATE GOVERNANCE COUNTRY RISK CREDIBILITY CREDIT CARD CREDIT CARDS CREDIT INFORMATION CREDIT INSTITUTION CREDIT RISK CREDIT RISK MANAGEMENT CREDIT RISKS CREDITWORTHINESS CUSTODY DEBT DEBTOR DEBTORS DEBTS DECENTRALIZATION DEFAULTS DEMAND FOR CREDIT DEPOSIT DEPOSIT INSURANCE DEPOSITORS DEPOSITS DERIVATIVES DEVELOPMENT BANK DOMESTIC BANKS DOMESTIC CREDIT DUE DILIGENCE ECONOMIC GROWTH EQUITY FUND EXTERNAL AUDITORS FACE VALUE FINANCIAL ASSETS FINANCIAL CONGLOMERATES FINANCIAL CRISES FINANCIAL CRISIS FINANCIAL INFORMATION FINANCIAL INSTITUTION FINANCIAL INSTITUTIONS FINANCIAL MARKET FINANCIAL MARKETS FINANCIAL SECTOR FINANCIAL SERVICES FINANCIAL STABILITY FINANCIAL STATEMENTS FINANCIAL STRENGTH FINANCIAL SYSTEM FOREIGN BANK FOREIGN BANKS FOREIGN CURRENCY FOREIGN LOANS FOREIGN PENETRATION HOST COUNTRY HUMAN RESOURCE HUMAN RESOURCES ILLIQUIDITY INDIVIDUAL ACCOUNTS INDIVIDUAL LOANS INFLATION INFORMATION TECHNOLOGY INSURANCE INSURANCE COMPANIES INSURANCE POLICY INTANGIBLE INTANGIBLE ASSET INTANGIBLE ASSETS INTEREST RATE INTEREST RATE RISK INTEREST RATE RISKS INTERNAL CONTROLS INTERNATIONAL ACCOUNTING STANDARDS INTERNATIONAL BANK INTERNATIONAL BANKS INTERNATIONAL STANDARDS ISSUANCE LAWS LEGAL AUTHORITY LEGAL FRAMEWORK LEGAL IMPEDIMENTS LEGAL PROTECTION LEGAL PROVISIONS LENDER LENDER OF LAST RESORT LENDING BEHAVIOR LETTERS OF CREDIT LIABILITY LIENS LIQUIDITY RATIOS LIQUIDITY RISK LIQUIDITY RISKS LITIGATION LOAN LOAN LOSS PROVISIONS LOAN PORTFOLIO LOCAL BANKS MACROECONOMIC POLICIES MARKET RISK MARKET RISKS MARKET SHARE MARKET STRUCTURE MINIMUM CAPITAL ADEQUACY RATIO MINISTRIES OF FINANCE MONETARY FUND MORTGAGE MORTGAGE LOANS MORTGAGES NONPERFORMING LOANS NPL OFF BALANCE SHEET OFF BALANCE SHEET ITEMS OFFSITE MONITORING OFFSITE SUPERVISION OPERATIONAL INDEPENDENCE OPERATIONAL RISK OPERATIONAL RISKS OWNERSHIP STRUCTURE OWNERSHIP STRUCTURES PENSION PENSION FUNDS POLITICAL UNCERTAINTY PORTFOLIOS PRIMARY CAPITAL PRIVATE BANKS PRIVATE CAPITAL PRIVATE SECTOR DEVELOPMENT PROFITABILITY PROVISIONING RULES PRUDENTIAL REGULATION PRUDENTIAL REGULATIONS PRUDENTIAL REQUIREMENTS PRUDENTIAL STANDARDS PRUDENTIAL SUPERVISION PUBLIC CALL RATING AGENCIES RECAPITALIZATION REGIONAL BANKS REGULATORY FRAMEWORK REMITTANCES REORGANIZATION REPAYMENT REPAYMENT CAPACITY REPO RESERVE RESERVE FUND RESERVES RETAINED EARNINGS RETURN RETURN ON ASSETS RISK AVERSION RISK MANAGEMENT RISK MANAGEMENT POLICIES RISK MANAGEMENT STRATEGIES RISK PROFILE RISK PROFILES RISK WEIGHTED ASSETS SALES OF ASSETS SAVINGS SECURITIES SEIZURE SHAREHOLDER SHAREHOLDERS SOLVENCY SOVEREIGN RISK STATE BANKS STOCK EXCHANGE STOCK MARKET SUBORDINATED DEBT SUBSIDIARIES SUBSIDIARY SUPERVISION OF BANKS SUPERVISORY AGENCY SUPERVISORY AUTHORITY SUPERVISORY FRAMEWORK SUPERVISORY POWERS SUPPLEMENTARY CAPITAL TRADE FLOWS TRANSFER RISKS TRANSPARENCY UNDERLYING ASSET VALUATION VALUATIONS WAREHOUSES WARRANTS This assessment of the Basel Core Principles (BCP) was conducted as part of the financial sector assessment program (FSAP) update evaluation of the El Salvador financial system from April 22 to May 10, 2010. The supervisory framework was assessed against the BCP methodology issued in October 2006. The assessment of compliance with each principle is made on a qualitative basis. A four-part assessment system is used: compliant; largely compliant; materially noncompliant; and noncompliant. A largely compliant assessment is given if only minor shortcomings are observed, and these are not seen as sufficient to raise serious doubts about the authority's ability to achieve the objective of that principle. A materially noncompliant assessment is given when the shortcomings are sufficient to raise doubts about the authority's ability to achieve compliance, but substantive progress has been made. A noncompliant assessment is given when no substantive progress toward compliance has been achieved. The ratings assigned during this assessment are not comparable to the ones assigned in the 2000 FSAP, as the bar to measure the effectiveness of a supervisory framework has been raised in the new methodology. This paper is structures as follows: introduction; information and methodology used for assessment; institutional and macroeconomic setting and market structure- overview; preconditions for effective bank supervision; main findings; and recommended action plan and authorities' response. 2017-08-10T21:19:47Z 2017-08-10T21:19:47Z 2010-11 Report http://documents.worldbank.org/curated/en/322591468043750707/El-Salvador-Basel-core-principles-for-effective-banking-supervision-assessment-of-compliance http://hdl.handle.net/10986/27734 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank Washington, DC Economic & Sector Work :: Financial Sector Assessment Program Economic & Sector Work Latin America & Caribbean El Salvador |