ANNEX: Observance of Financial Sector Standards and Codes—Summary Assessments
The annex contains summary assessments of international standards and codes relevant for the financial sector. The assessment has helped to identify the extent to which the supervisory and regulatory framework is adequate to address potential risks in the financial system.
The following detailed assessment of financial sector standards were undertaken: Code of Good Practices on Monetary Policy Transparency by Mr. Hardy (IMF); the BCP for Effective Banking Supervision by Mr. Cortavarria, Ms. Mitchell-Casselle (both IMF), Ms. Nieto (Bank of Spain), and Mr. Lind (Swedish Riksbank); the IOSCO Objectives and Principles of Securities Regulation assessed by Mr. Dankers (Netherlands Authority for Financial Markets); and the CPSS and CPSS-IOSCO Core Principles by Mr. Keppler (World Bank).
The assessments were based on the self-assessments undertaken by Turkish authorities, a review of relevant documents, and discussions with the Turkish authorities, market participants, and industry associations on actual practices.
Turkey’s observance of international financial sector standards and codes is generally strong, though in each area certain aspects were identified where further improvements would be desirable. The Turkish authorities are aware of the areas that need further reforms and are in the process of addressing them.