Evolving International Supervisory Framework

At a time when, despite the flagship work done by the Basel Committee of Banking Supervision (BCBS), there is still limited information as to what constitutes international best practice and few internationally agreed standards, it remains a moot question whether sophistication in these standards could impair their universal application. The national supervisors continue to look upon the Basel Committee to set standards which will be universally relevant and take into account the differences in the stages of development of the banking systems and supervisory capabilities in the developing world. While the BCBS has walked this tightrope with elan till now, there is a greater need than ever before for a greater say of the non G-10 members in the setting of international standards in bank supervision.