Cross Border Banking and Regulatory Reforms: Implications for Africa from International Experience
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Conference overview
- Event: Conference sponsored by the International Monetary Fund (IMF).
- Date references: Sessions held on Thursday, February 2, 2017 (explicit schedule entries include "Thursday, February 2, 2017").
- Primary focus: Implications for Africa from international experience on cross-border banking, regulatory reforms, supervision, and resolution.
Keynote addresses and speeches
- 13:45 – 14:15: Keynote Address titled "Cross-Border Banking in Africa: Framing the Policy Issues"; delivered by IMF Managing Director, Mme. Christine Lagarde (public with press).
- 9:00 – 9:30 (Thursday, February 2, 2017): Keynote Address titled "Resolving Cross-Border Banks—Lessons from the Nordic and European Banking Crises"; delivered by Mr. Stefan Ingves, Chairman of the Basel Committee on Banking Supervision, and Governor of the Sveriges Riksbank.
- Included speeches and presentations:
- "Financial Stability and Pan-African Banking: Remarks for Conference on Cross-Border Banking and Regulatory Reforms" by Christine Lagarde, IMF Managing Director.
- "Resolving Cross-Border Banks—Lessons from the Nordic and European Banking Crises" by Stefan Ingves, Chairman of the Basel Committee on Banking Supervision, and Governor of the Sveriges Riksbank.
Session I — Cross-Border Supervisory Cooperation in Africa (14:40 – 16:10)
- Purpose:
- Take stock of progress on enhancing cross-border cooperation in sub-Saharan Africa.
- Review consolidated supervision of Pan-African banking groups.
- Elicit authorities’ views on remaining challenges and the state of cooperation with other supervisors, including home supervisors of international banks operating in Africa.
- Presentations and participants:
- Presentation: An update of the work on the increasing role of Pan-African banks and implications for financial integration in Africa.
- Governor Patrick Njoroge, Central Bank of Kenya.
- Governor Denny Kalyalya, Bank of Zambia.
- Governor Rogerio Zandamela, Banco de Moçambique.
- Mr. Abderrahim Bouazza, General Director, Bank Al Maghrib.
- Moderator: Anne-Marie Gulde-Wolf, Deputy Director, African Department, IMF.
- Followed by: 16:10 – 16:25 Questions and Answers.
Session II — Private Sector Perspectives on Pan-African Banking (16:25 – 17:55)
- Purpose:
- Provide private sector views on Africa’s financial market potential and comparative perspectives on bank strategies for cross-border operations and expansion.
- Facilitate dialogue on private sector views regarding efforts to strengthen regulatory and prudential oversight frameworks in Africa.
- Participants:
- Mr. Ade Ayeyemi, Group CEO, Ecobank.
- Mr. Brahim Benjelloun-Touimi, Group CEO, Banque Marocaine de Commerce Extérieur Group.
- Mr. J. Gilbert Gnany, Chief Strategy Officer and Executive Director, Mauritius Commercial Bank (MCB) Group Ltd.
- Mr. Charles Mudiwa, CEO, Stanbic Zambia.
- Moderator: Ms. Ratna Sahay, Deputy Director, Monetary and Capital Markets Department, IMF.
- Followed by: 17:55 – 18:10 Questions and Answers.
Session III — International and European Experience on Regulation, Supervision, and Resolution of Cross-Border Banks (10:00 – 11:15)
- Context and rationale:
- The European experience from the global financial crisis demonstrated the need for effective cross-border cooperation and resolution arrangements.
- Resolving cross-border financial institutions involved ad hoc costly interventions and tensions related to different national priorities.
- Preserving financial stability required moving toward a supranational approach.
- Objectives:
- Review the case for, the roadmap toward, and the experience to date on a common supervision and resolution framework involving home and host authorities.
- Discuss international best practices on supervisory frameworks for bank-holding companies, a key issue for Pan-African banking.
- Highlight lessons on implementation challenges in limited capacity settings prevailing in Africa.
- Presentations and participants:
- Mr. Lyndon Nelson, Deputy CEO, Prudential Regulation Authority, UK.
- Presentation: Cross-Border Banking and Regulatory Reforms: Implications for Africa from International Experience; Mr. Neil Esho, Deputy Secretary General, BCBS.
- Ms. Julie Dickson, SSM Supervisory Board member, European Central Bank.
- Presentation: International and European Experience on Regulation, Supervision, and Resolution of Cross-Border Banks; Mr. Bertrand Peyret, Director, Prudential Control Agency, Bank of France.
- Presentation: Practical considerations in terms of cross border cooperation: Colleges of supervisors and Crisis Management Groups.
- Moderator: Mr. Nigel Jenkinson, Assistant Director, Monetary and Capital Markets Department, IMF.
- Presentation: Financial Sector Technical Assistance: Focus on Africa.
- Followed by: 11:15 – 11:30 Questions and Answers.
Session IV — Key Takeaways and the Road Ahead for Effective Oversight of Pan-African Banks (11:45 – 13:00)
- Purpose:
- Take stock of dialogue on cross-border banking and key lessons from the European experience.
- Place conference findings in the larger context of ongoing efforts to safeguard financial stability and foster sustained growth in Africa.
- Key emphasis and recommendations:
- Underscore the priority to strengthen consolidated supervision and cross-border cooperation in Africa.
- Recommend that these efforts be actively pursued under the aegis of the Association of African Central Banks (AACB).
- Participants:
- Governor Godwin Emefiele, Central Bank of Nigeria; President, AACB.
- Governor Tiémoko Meyliet Koné, BCEAO.
- Mr. Kuben Naidoo, Deputy Governor, Registrar of Banks, SARB.
- Moderator: Mr. Abebe Aemro Selassie, Director, African Department, IMF.
- Followed by: 13:00 – 13:15 Questions and Answers.
Cross-cutting findings and policy implications highlighted at the conference
- Significant efforts have already been made to enhance cross-border cooperation in sub-Saharan Africa, and consolidated supervision of Pan-African banking groups; nonetheless, many challenges remain.
- European and international experience indicate:
- The need for effective cross-border cooperation and resolution arrangements.
- Resolving cross-border institutions through ad hoc interventions is costly and creates tensions across national priorities.
- Moving toward a supranational approach can help preserve financial stability.
- Practical considerations for implementation:
- Develop a common supervision and resolution framework involving home and host authorities.
- Strengthen supervisory frameworks for bank-holding companies in the context of Pan-African banking.
- Address implementation challenges in limited capacity settings prevalent in Africa.
- Recommended institutional approach:
- Actively pursue strengthened consolidated supervision and cross-border cooperation under the aegis of the Association of African Central Banks.
Content in this bundle
- Country Report
- Financial Inclusion: Macroeconomic Outcomes and Multiple Goals
- Session Iii Bertrand Peyret
- Closing Slides – Session III
- Session Iii Juliedickson Presentation
- Mauritius 20170122.key
- Staff Paper
- Resolving Cross-Border Banks: Lessons from the Nordic and European Banking Crises
- Afr1503 (PDF)