Regional Financial Conglomerates: A Case for Improved Supervision

Abstract

The paper`s central theme is that where a financial crisis emerges, re gional supervisors should have systems in place to effectively respond to their country-specific crises and in the case of foreign operation s and financial conglomerates to collaborate comprehensively with othe r supervisory agencies and respective ministries to avert a regional c risis or address the immediate crisis at hand. For financial instituti ons to expand across borders without undermining regional and global f inancial stability, supervisory agencies must develop the capacity to collaboratively and collectively handle crises.