Arguably it was the framework of international policy coordination through the G20 Summit that made it possible to overcome the global financial crisis earlier than anticipated and allowed the swift introduction of Basel III. On the other hand, there are a number of obstacles that stand in the way of the seamless conduct of surveillance and policy coordination.
Among other things, our analysis reaffirms that capital adequacy, effective liquidity planning, and strong risk management are essential for safe and sound banking; the crisis revealed serious deficiencies on the part of some financial institutions in one or more of the areas.