Macro-Prudential Policies and Financial Stability: A Theoretical Background

Authors

Yusuf B. Duniya, Central Bank of NigeriaFollow

Publisher

Central Bank of Nigeria

Keywords

Macro-Prudential Regulation, Micro-Prudential Regulation, Macro-Prudential Instruments, Basel III, Micro-Prudential Policy

Abstract

The paper is organized as follows: section two and three contains conceptual issues and theoretical perspectives, respectively, while section four looked at complementarity and differences between macro-prudential and micro-prudential regulation. Thereafter, section five reviewed objectives and rationale for macro-prudential regulation vis-Ã -vis its institutional framework and scope. Section six looked at instruments of macro-prudential regulation and the implication of the new Basel III, while section seven focused on institutional and governance structure as key elements of macro-prudential regulation. The paper further gave a general insight on how macro-prudential policy framework should be structured in section eight and later concluded in section nine.

Author Bio

Yusuf B. Duniya is a Deputy Director in the Financial Policy and Regulation Department of the Central Bank of Nigeria.

Publication Title

CBN Economic and Financial Review

Issue

4

Volume

50

Recommended Citation

Duniya, Y. B. (2012). Macro-Prudential Policies and Financial Stability: A Theoretical Background. CBN Economic and Financial Review. 50(4), 184-192.