Global Economic Organizations Questions
The role of the Basel Committee on Banking Supervision (BCBS) in promoting sound banking practices is to develop and promote international standards and guidelines for banking supervision. The BCBS sets out principles and recommendations for banks to follow in areas such as risk management, capital adequacy, and liquidity management. By establishing these standards, the BCBS aims to enhance the stability and soundness of the global banking system, ensuring that banks operate in a safe and prudent manner. The committee also facilitates cooperation and information sharing among its member countries to foster consistent implementation of these standards worldwide.