The Member States Central will need to redesign their communication policies to inform what goes into the Financial Stability Reports. Discussions In the discussions that followed the meeting well received the Manual for Forward-Looking Financial Stability Reports and Stress Testing and made the following comments: The need to address the matter of transparency of country financial stability reports. The issue was whether two versions of FSR’s should be produced, one for internal review and discussion, and another publication for the external stakeholders. The committee agreed that this is a country specific issue and will be decided by the different member state jurisdictions based on their own country situations; The need to exclude the discussion in the Manual of countries that were yet to produce or release their Financial Stability Reports; The Report should include a disclaimer as well as provide more elaborate examples of financial stability reports and stress testing methodologies from COMESA member countries; and The manual should retain micro stress testing aspects while expounding on macro stress testing. This will allow for variations in levels of sophistication of stress tests implemented by member states given differences in the levels of development of the financial sectors in the countries in the region. Recommendations In addition to the above mentioned observations the meeting recommended the need for further comments on the Manual by all those involved in the financial stability analysis in member countries. The meeting agreed on the following timeliness for the finalization and full validation of the Manual: CMI to receive the initial comments from Member Central Banks by end September 2013; The comments of member Central Banks to be incorporated in the Manual and circulated for final review by end October 2013; and The final validated version of the Manual to be ready by 21st November 2013. Validation of the Manual of COMESA Framework for Assessing Financial Stability
The Member States Central will need to redesign their communication policies to inform what goes into the Financial Stability Reports. Discussions In the discussions that followed the meeting well received the Manual for Forward-Looking Financial Stability Reports and Stress Testing and made the following comments: The need to address the matter of transparency of country financial stability reports. The issue was whether two versions of FSR’s should be produced, one for internal review and discussion, and another publication for the external stakeholders. The committee agreed that this is a country specific issue and will be decided by the different member state jurisdictions based on their own country situations; The need to exclude the discussion in the Manual of countries that were yet to produce or release their Financial Stability Reports; The Report should include a disclaimer as well as provide more elaborate examples of financial stability reports and stress testing methodologies from COMESA member countries; and The manual should retain micro stress testing aspects while expounding on macro stress testing. This will allow for variations in levels of sophistication of stress tests implemented by member states given differences in the levels of development of the financial sectors in the countries in the region. Recommendations In addition to the above mentioned observations the meeting recommended the need for further comments on the Manual by all those involved in the financial stability analysis in member countries. The meeting agreed on the following timeliness for the finalization and full validation of the Manual: CMI to receive the initial comments from Member Central Banks by end September 2013; The comments of member Central Banks to be incorporated in the Manual and circulated for final review by end October 2013; and The final validated version of the Manual to be ready by 21st November 2013. Validation of the Manual of COMESA Framework for Assessing Financial Stability
Report-of-the-8th-Meeting-of-the-COMESA-Financial-System-Development-and-Stability-Sub-Committee-2013.docx