Paper

Core Principles Methodology

Principles in prudential banking and supervision
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This paper presents 25 principles that set the standard for prudential banking regulation and supervision. These principles, developed by the Basel Committee on Banking Supervision aim to help countries assess the quality of their systems and provide inputs for their reform agendas. The methodology's successful application involves: 

  • Supplementing self-assessment with qualified outside-party assessment; 
  • Cooperation by all relevant authorities; 
  • Involvement of qualified assessors with practical, relevant experience; 
  • Legal and accounting expertise; 
  • Enforcement of and compliance with effective laws and regulations.  

The document also discusses practical considerations in assessing compliance with Basel I and II, listing out criteria for each of the core principles.

About this Publication

By Basel Committe on Banking Supervision
Published