The IMF Country Reports Series covers economic and financial developments and trends in member countries. Each report, prepared by a staff team after discussions with officials of the country, is published at the option of the member.
The design of the German banking supervision framework is structurally sound, with a robust legislative and operational framework that largely complies with the Basel Core Principles for effective banking supervision (BCP). Various improvements to the German supervisory framework have been implemented, acting on multiple recommendations and initiating improvements in supervisory practices on the basis of lessons from the global financial crisis. Further efforts are needed to make fully operational the improvements initiated in light of the lessons from the global financial crisis.