Ingves: Talk is cheap – putting policies into practice
Date
16/11/2011
On 16 November Governor Stefan Ingves held a speech in San Francisco, USA, in his capacity as Chairman of the Basel Committee on Banking Supervision, on the committee's new working methods to ensure the Basel III regulations are implemented in a uniform manner.
Mr Ingves began with a brief review of some of the most important lessons from the financial crisis. He noted that although the problems had first been detected in the US markets, the underlying causes could be found in most banking systems.
He also noted that the globally-agreed Basel III regulations are a major step forward in dealing with the problems, but he pointed out that they will only be effective if they are implemented consistently, globally and within a reasonable time frame. To ensure this, the Basel Committee has developed entirely new working methods. One important innovation is that a delegation, composed of representatives of the Basel Committee, will visit countries to assess the degree to which national authorities and financial institutions introduce the Basel III regulations as agreed and the degree to which they have the desired effects. Mr Ingves noted in conclusion that the Basel Committee will invest considerable time and resources in ensuring that the regulations are implemented on a consistent and timely basis.
