www.bis.org/bcbs/charter.htm
Adopted: January 2013
In force: not applicable
PURPOSE AND ROLE
Mandate
The BCBS is the primary global standard-setter for the prudential regulation of banks and provides a forum for cooperation on banking supervisory matters. Its mandate is to strengthen the regulation, supervision and practices of banks worldwide with the purpose of enhancing financial stability.
Activities
The BCBS seeks to achieve its mandate through the following activities:
(a) exchanging information on developments in the banking sector and financial markets, to help identify current or emerging risks for the global financial system;
(b) sharing supervisory issues, approaches and techniques to promote common understanding and to improve cross-border cooperation;
(c) establishing and promoting global standards for the regulation and supervision of banks as well as guidelines and sound practices;
(d) addressing regulatory and supervisory gaps that pose risks to financial stability;
(e) monitoring the implementation of BCBS standards in member countries and beyond with the purpose of ensuring their timely, consistent and effective implementation and contributing to a “level playing field” among internationally-active banks;
(f) consulting with central banks and bank supervisory authorities which are not members of the BCBS to benefit from their input into the BCBS policy formulation process and to promote the implementation of BCBS standards, guidelines and sound practices beyond BCBS member countries; and
(g) coordinating and cooperating with other financial sector standard setters and international bodies, particularly those involved in promoting financial stability.
Legal status
The BCBS does not possess any formal supranational authority. Its decisions do not have legal force. Rather, the BCBS relies on its members’ commitments, as described in Section 5, to achieve its mandate.
MEMBERSHIP
BCBS members
BCBS members include organisations with direct banking supervisory authority and central banks.
After consulting the Committee, the BCBS Chairman may invite other organisations to become BCBS observers.
BCBS membership and observer status will be reviewed periodically.
In accepting new members, due regard will be given to the importance of their national banking sectors to international financial stability. The Committee will make recommendations to its oversight body, the Group of Governors and Heads of Supervision, for changes in BCBS membership.
Review the options below to login to check your access.
Log in with your Cambridge Higher Education account to check access.
If you believe you should have access to this content, please contact your institutional librarian or consult our FAQ page for further information about accessing our content.