Emerging sound practices on supervisory capacity development
A sound supervisory capacity development framework is critical to equip financial sector supervisors with the necessary skills and knowledge to discharge their responsibilities effectively. This paper takes stock of the recent evolution of capacity development approaches, shaped by changes in regulatory/supervisory frameworks, market developments (particularly from technological advancements and climate-related risks) and learning modalities. Based on a survey and interviews with 26 financial supervisory authorities, as well as desktop analysis and the FSI's experience, the paper identifies existing capacity development strategies and practices. It also outlines good practices for financial authorities to consider when setting up or enhancing their capacity development framework.
JEL classification: G28, I21
Keywords: capacity building, capacity development, banking supervision, insurance supervision, learning and development, training