{ "title": "IMF Executive Board Approves New Central Bank Transparency Code", "publication": "IMF News, July 30, 2020", "sourceUrl": "https://www.imf.org/en/news/articles/2020/07/30/pr20258-imf-executive-board-approves-new-central-bank-transparency-code", "canonical": "https://www.imf.org/en/news/articles/2020/07/30/pr20258-imf-executive-board-approves-new-central-bank-transparency-code", "overlayPath": "/en/news/articles/2020/07/30/pr20258-imf-executive-board-approves-new-central-bank-transparency-code/index.md", "summary": "Press Release No. 20/258", "publishDate": "2020-07-30", "sections": [ { "heading": "Overview", "content": "- Press Release No. 20/258\n- Date: July 30, 2020\n- Washington DC: On July 2nd, the Executive Board of the International Monetary Fund (IMF) approved the new IMF Central Bank Transparency Code (CBT).\n- The CBT updates the 1999 Monetary and Financial Policies Transparency Code and responds to recommendations from the 2017 Joint Review of the Standards and Codes Initiative." }, { "heading": "CBT framework and development", "content": "- The CBT sets out a 5-pillar framework and proposed application of the CBT.\n- The CBT principles and detailed practices were developed after extensive consultation with relevant stakeholders.\n- Preparation benefited from:\n - Guidance from a High-Level Advisory Panel consisting of eminent former central bank governors and academics.\n - Input from an extensive consultation process with central banks and other relevant international organizations.\n- The CBT is intended to provide strong, clear, and detailed guidance to central banks regarding their own transparency.\n- The CBT acknowledges trade-offs between transparency and the legitimate need for confidentiality, including in contexts of:\n - Market sensitive issues\n - Financial stability considerations\n - Personal data\n- Some Directors saw scope for a broader definition of qualified confidentiality reasons.\n- In the context of currency unions, Directors were concerned that publishing voting behavior may have important trade-offs and stressed the CBT should avoid being overly prescriptive." }, { "heading": "Application, scope, and use", "content": "- Applicability:\n - The CBT will be applicable, on a voluntary basis, to all IMF members, including less-developed economies.\n- Design features:\n - Modular\n - Risk-based\n - Proportional, to take into account country-specific circumstances\n- Uses:\n - Tailored diagnostic tool in IMF capacity development\n - Facilitate voluntary use in Financial Sector Assessment Programs\n - Facilitate voluntary use in IMF surveillance, such as Article IV consultations, and in an IMF‑supported program context\n- Directors appreciated that descriptions of the range of practices are not intended to be a tool for ranking central banks’ transparency choices and welcomed the revised practice labels." }, { "heading": "Executive Board assessment and views", "content": "- Directors broadly endorsed the CBT’s general principles and welcomed the opportunity to consider the staff proposal.\n- Key reasons for enhanced transparency noted:\n - Expanded mandates of central banks\n - Unconventional policy actions\n - Complex operations\n - Evolving role in response to the 2008 financial crisis and the COVID‑19 pandemic\n- Directors appreciated staff outreach and Advisory Panel contributions, calling the CBT a timely and useful tool to strengthen accountability and ensure more effective policy outcomes and better‑informed dialogue with stakeholders.\n- Views on disclosure and caution:\n - Directors broadly endorsed principles and practices related to foreign exchange management.\n - Some Directors called for caution regarding information disclosure in foreign exchange management to avoid limiting central bank flexibility and prevent speculative transactions.\n- Pilot reviews and timeline:\n - Directors supported staff carrying out CBT pilot reviews on a voluntary basis and in close cooperation with relevant authorities, ensuring proper representation of Fund membership.\n - Given competing demands on authorities and Fund resources considering the ongoing COVID‑19 crisis, a number of Directors were of the view that the two‑year timeline might need to be reconsidered.\n- Use in Fund work:\n - Directors supported the notion that the CBT could serve as a useful diagnostic tool in capacity development.\n - Most Directors thought it could be helpful for Fund surveillance, on a voluntary basis." }, { "heading": "Contact and media", "content": "- IMF Communications Department\n- MEDIA RELATIONS\n- PRESS OFFICER: Randa Elnagar\n- Phone: +1 202 623-7100\n- Email: MEDIA@IMF.org\n- Twitter: @IMFSpokesperson\n\nSource: IMF press release, July 30, 2020.\n\n---\n\n\n References\n\n- https://www.imf.org/-/media/images/imf/bios/imfboard.jpg\n- The Executive Board\n- Press Releases\n- PRESS CENTER\n- IMF Central Bank Transparency Code\n- https://www.imf.org/en/home\n\nSource: https://www.imf.org/en/news/articles/2020/07/30/pr20258-imf-executive-board-approves-new-central-bank-transparency-code" } ], "bullets": [ "[Markdown version](/en/news/articles/2020/07/30/pr20258-imf-executive-board-approves-new-central-bank-transparency-code/index.md)", "[Structured JSON version](/en/news/articles/2020/07/30/pr20258-imf-executive-board-approves-new-central-bank-transparency-code/index.json)", "[Bundle manifest](/en/news/articles/2020/07/30/pr20258-imf-executive-board-approves-new-central-bank-transparency-code/bundle-manifest.json)", "Published: July 30, 2020", "Press Release No. 20/258", "Date: July 30, 2020", "Washington DC: On July 2nd, the Executive Board of the International Monetary Fund (IMF) approved the new IMF Central Bank Transparency Code (CBT).", "The CBT updates the 1999 Monetary and Financial Policies Transparency Code and responds to recommendations from the 2017 Joint Review of the Standards and Codes Initiative.", "The CBT sets out a 5-pillar framework and proposed application of the CBT.", "The CBT principles and detailed practices were developed after extensive consultation with relevant stakeholders.", "Preparation benefited from:", "The CBT is intended to provide strong, clear, and detailed guidance to central banks regarding their own transparency.", "The CBT acknowledges trade-offs between transparency and the legitimate need for confidentiality, including in contexts of:", "Some Directors saw scope for a broader definition of qualified confidentiality reasons.", "In the context of currency unions, Directors were concerned that publishing voting behavior may have important trade-offs and stressed the CBT should avoid being overly prescriptive.", "Applicability:", "Design features:", "Uses:", "Directors appreciated that descriptions of the range of practices are not intended to be a tool for ranking central banks’ transparency choices and welcomed the revised practice labels.", "Directors broadly endorsed the CBT’s general principles and welcomed the opportunity to consider the staff proposal.", "Key reasons for enhanced transparency noted:", "Directors appreciated staff outreach and Advisory Panel contributions, calling the CBT a timely and useful tool to strengthen accountability and ensure more effective policy outcomes and better‑informed dialogue with stakeholders.", "Views on disclosure and caution:", "Pilot reviews and timeline:", "Use in Fund work:", "IMF Communications Department", "MEDIA RELATIONS", "PRESS OFFICER: Randa Elnagar", "Phone: +1 202 623-7100", "Email: MEDIA@IMF.org", "Twitter: @IMFSpokesperson", "[https://www.imf.org/-/media/images/imf/bios/imfboard.jpg](https://www.imf.org/-/media/images/imf/bios/imfboard.jpg)", "[The Executive Board](https://www.imf.org/external/np/sec/memdir/eds.aspx)", "[Press Releases](https://www.imf.org/en/news/searchnews)", "[PRESS CENTER](http://presscenter.imf.org/)", "[IMF Central Bank Transparency Code](https://www.imf.org/en/Publications/Policy-Papers/Issues/2020/07/29/The-Central-Bank-Transparency-Code-49619)", "[https://www.imf.org/en/home](https://www.imf.org/en/home)" ], "alternates": { "markdown": "/en/news/articles/2020/07/30/pr20258-imf-executive-board-approves-new-central-bank-transparency-code/index.md", "json": "/en/news/articles/2020/07/30/pr20258-imf-executive-board-approves-new-central-bank-transparency-code/index.json", "bundleManifest": "/en/news/articles/2020/07/30/pr20258-imf-executive-board-approves-new-central-bank-transparency-code/bundle-manifest.json" }, "generatedAtUtc": "2026-09-25T23:48:09.859Z" }