This has proven invaluable given the pace of change in the financial system. In addition, Canada regularly subjects its system to rigorous external examination under the International Monetary Fund’s Financial Sector Assessment Program (FSAP), and Canadian authorities conduct regular system-wide stress tests. Many of these elements are now being adopted internationally. The G-20 has made FSAPs mandatory.
Many jurisdictions are adopting committees to oversee their financial systems. 5 Based on a working group report chaired by Canada’s Superintendent of Financial Institutions, the Financial Stability Board will propose to G-20 leaders in Seoul a series of recommendations to strengthen oversight and supervision.