Monetary policy, risk-based supervision and financial sector developments: international experience.

Authors

Ayodele Odusola, United Nations Development Programme (UNDP)

Publisher

Central Bank of Nigeria.

Keywords

Banking supervision, Financial risk, Risk-Based Supervision, Financial system

Abstract

This paper describes an efficient banking supervision as essential to a virile and stable financial system and also fostering the linkage between the financial sector and the aggregate economy as well as to reduce the likelihood and magnitude of a financial crisis. Recent development across the globe has shown that dynamic diagnostic instruments are required for identifying and managing risks, vulnerabilities and development priorities in the financial sector. The need to address the unfolding complexity of supervising the banking system in the context of a globalized world underscores the introduction of the joint IMF-World Bank Financial Sector Assessment Program (FSAP) in May 1999.

Author Bio

Dr. A. Odusola is Policy Adviser on the National Economy al the United Nations Development Programme (UNDP).

Publication Title

CBN Economic and Financial Review

Issue

4

Volume

46

Recommended Citation

Odusola, A. (2008). Monetary policy, risk-based supervision and financial sector developments: international experience. CBN Economic and Financial Review, 46(4), 247-269.