2  BIS central bankers’ speeches  Banking regulation is becoming stricter In a broader sense, Europe has been actively contributing to stronger prudential supervision, notably banking supervision. At both global and national levels, there has been a marked tightening of banking and prudential rules. Work on corporate governance and internal audit has progressed too.
In light of the financial crisis experienced in advanced economies, it could fairly be asked whether the rules are to be blamed or the way in which they were applied. The answer to this question is pertinent also for this cooperation Programme. In fact, it was decided that work foreseen in the Programme concerning the implementation of the Basel II framework should continue.