FSI Insights on policy implementation series launched; first papers focus on proportionality, cyber-risk
2 August 2017
The Financial Stability Institute (FSI) today launched a new publication series, FSI Insights on policy implementation, to contribute to international discussions on a range of policy issues and implementation challenges faced by financial sector authorities.
Fernando Restoy, FSI Chairman, said: "The intention of our new FSI Insights series is to provide information and analysis based on experiences in different jurisdictions on practical regulatory and supervisory issues."
Jaime Caruana, General Manager of the Bank for International Settlements (BIS), said, "I welcome this new publication which contributes to BIS efforts to promote financial stability through dissemination of sound policies and practices."
The first two papers launched today focus on proportionality and on cyber-risk:
- The paper on proportionality explores the issue of how best to tailor regulatory requirements for different types of banks by comparing the approaches followed in six jurisdictions. It shows the range of approaches in terms of criteria and the thresholds used to differentiate banks, and also in terms of the regulatory standards that are subject to a proportional implementation. The paper notes that implementation of the proportionality strategy should respect prudential objectives and consider implications for the competitive environment.
- The paper on cyber-risk explores regulatory and supervisory initiatives in some leading jurisdictions. While there may be different views on the need to specifically regulate cyber-risk or how prescriptive these regulations should be, the supervisory approaches to assessing banks' cyber-risk vulnerability and resilience seem to be converging towards a "threat-informed" or "intelligence-led" framework. The paper also offers some high-level policy considerations for banking supervisory authorities contemplating or planning to introduce or enhance cyber-risk regulation and supervision for banks.
About the FSI
The FSI was jointly created by the BIS and the Basel Committee on Banking Supervision to assist supervisors around the world in improving and strengthening their financial systems.
One of the key FSI objectives is to support the implementation of regulatory and supervisory financial standards globally. The FSI achieves this objective through its meetings with senior officials, conferences and seminars; FSI Connect, the BIS's web-based learning tool for financial sector supervisors; and its policy implementation analysis and related publications.