All of these elements are essential to ensure the stability of individual financial institutions and of financial systems. The role of the regulator in addressing these challenges is crucial. We can provide the guidance and create the appropriate regulatory framework to enable the sound and stable conduct of financial services and financial institutions.
The 6-volume CBB Rulebook is at the very core of our regulatory development and enhancement programme. The importance of sound corporate governance is one issue brought to prominence by the recent global financial turmoil. As Alan Greenspan acknowledged last month in testimony to the United States Congress, an important cause of the crisis was the failure of internal monitoring and control in financial firms.