ANBOUND: Central Bank Introduced "Macro Prudential Assessment System", What Does This Mean?
ANBOUND
The central bank announced that effective from 2016, the current scheme of dynamic adjustment in bank reserves will be upgraded into the new Macro Prudential Assessment System.
ANBOUND's research team is of the in light of the fact that mixed operation has become reality and the increased risk exposure, the central bank’s decision to introduce Macro Prudential Assessment System is necessary to prevent the lack of coordination among the regulators, to close the gaps in regulation and to avoid the systemic risks.
This will also lay the foundation to establish a comprehensive regulatory system where central bank will play a leading role.