Colombia: Technical Assistance Report—Assessment of Financial Stability Report
IMF Staff Country Reports, August 28, 2023
Source details
- Canonical URL
- Colombia: Technical Assistance Report—Assessment of Financial Stability Report
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Bibliographic details
- Published: August 28, 2023
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798400254765.002
Overview and main assessment
- The report assesses the Assessment of Financial Stability Report (FSR) produced by the Banco de la República of Colombia (BR).
- The FSR provides broad coverage of the macroeconomic environment and the assessment of risks in the financial system.
- The current structure of the FSR "appears to work well in covering a range of relevant risks and vulnerabilities as well as topical issues, but there is room for evolution."
Findings on analysis and tools
- Efforts to expand forward-looking analyses should continue.
- Specific analytical enhancements recommended:
- Expand stress testing and sensitivity analyses of the corporate sector.
- Expand stress testing and sensitivity analyses of the household sector.
- Expand analysis of interconnectedness across the financial system.
- Further improving information about the sensitivity of various vulnerabilities in the FSR would help monetary policy decision makers.
Communication and institutional interaction
- A layered communication approach would help adapt the key messages of the FSR to audiences with different levels of expert knowledge and interest.
- There would be clear gains in deepening the understanding of the channels and interaction between financial stability and monetary policy as the financial system continues to evolve.
- Enhancing knowledge sharing between staff working on financial stability and monetary policy is recommended; this could support monetary policy decision making and may have a positive feedback effect on financial stability.
Subjects and keywords (as provided)
- Subjects: Economic sectors; Financial regulation and supervision; Financial sector; Financial sector policy and analysis; Financial sector risk; Financial sector stability; International organization; Market risk; Monetary policy; Stress testing
- Keywords: Banco de la República of Colombia; Central America; Financial sector; Financial sector risk; Financial sector stability; FSR report; Global; IMF Monetary; Market risk; MCM department; staff team of the International Monetary Fund; Stress testing
Content in this bundle
- 1colea2023004