## Cyprus: Financial Sector Assessment Program Update: Technical Note: Factual Update on Basel Core Principles for Effective Banking Supervision (Central Bank of Cyprus)

_IMF Staff Country Reports, June 1, 2009_

## Source details

**Canonical URL:** [Cyprus: Financial Sector Assessment Program Update: Technical Note: Factual Update on Basel Core Principles for Effective Banking Supervision (Central Bank of Cyprus)](https://www.imf.org/en/publications/cr/issues/2016/12/31/cyprus-financial-sector-assessment-program-update-technical-note-factual-update-on-basel-22988)

## Other formats

- [Markdown version](/en/publications/cr/issues/2016/12/31/cyprus-financial-sector-assessment-program-update-technical-note-factual-update-on-basel-22988/index.md)
- [Structured JSON version](/en/publications/cr/issues/2016/12/31/cyprus-financial-sector-assessment-program-update-technical-note-factual-update-on-basel-22988/index.json)
- [Bundle manifest](/en/publications/cr/issues/2016/12/31/cyprus-financial-sector-assessment-program-update-technical-note-factual-update-on-basel-22988/bundle-manifest.json)

## Bibliographic details
- Published: June 1, 2009
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781451809923.002

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### Executive findings
- The technical note examines Cyprus’s factual update on the Basel Core Principles for Effective Banking Supervision for Cyprus.
- The 2006 directive on corporate governance provides that each commercial credit institution should have a robust internal governance framework.
- The level of activities of banks in Cyprus that can generate market risk remains low.
- The Central Bank of Cyprus issued bank guidelines on the management of market risk that include provisions on:
  - scenario analysis,
  - stress testing,
  - contingency planning,
  - as appropriate.

### Regulatory and supervisory implications
- Emphasis on corporate governance: the 2006 directive requires robust internal governance frameworks in commercial credit institutions.
- Market risk management: supervisory guidance from the Central Bank of Cyprus extends to scenario analysis, stress testing, and contingency planning despite low market-risk-generating activity levels.

### Subjects and keywords (as provided)
- Subjects:
  - Bank regulation,
  - Bank supervision,
  - Banking,
  - Basel Core Principles,
  - Financial regulation and supervision,
  - Market risk,
  - Operational risk
- Keywords:
  - Bank regulation,
  - Bank supervision,
  - banks management,
  - Basel Core Principles,
  - CBC guideline,
  - CBC Law,
  - CBC policy,
  - CBC requirement,
  - CR,
  - Cyprus,
  - Eastern Europe,
  - ISCR,
  - licensing regime,
  - market,
  - Market risk,
  - Operational risk,
  - Southern Europe

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## Content in this bundle

- **_cr09167 - Key Recommendations**
  - [_cr09167 - Key Recommendations (Markdown version)](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2009/_cr09167.pdf.md){rel="alternate" type="text/markdown"}
  - [_cr09167 - Key Recommendations (PDF)](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2009/_cr09167.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/cr/issues/2016/12/31/cyprus-financial-sector-assessment-program-update-technical-note-factual-update-on-basel-22988_