International Financial Regulation

International Financial Institutions: These are various organizations that are involved in regulating international finance. They include the International Monetary Fund (IMF), the World Bank, the Bank for International Settlements (BIS) and regional development banks such as the European Investment Bank.

International Monetary System: This is a system that governs the exchange rates between currencies of different countries. It comprises of fixed and floating exchange rates and managed exchange rate systems.

International Trade: International trade flows and patterns are regulated based on various agreements and treaties between countries. International trade comprises of imports and exports, and the means through which trade is facilitated, including the pricing of goods, standards to be followed, customs and tariffs.

Banking Supervision and Regulation: This includes measures that countries have put in place to regulate banking activities, including prudential requirements, enforcement mechanisms, deposit insurance and capital adequacy requirements. These measures are envisioned to ensure the stability of the financial system, and to protect consumers.

Capital Markets: This refers to financial markets where investors can buy and sell financial products, such as bonds, stocks and other securities. Capital markets regulations are intended to ensure transparency, accountability and fairness, to prevent market manipulation, and to protect investors.

Financial Instruments: These are the various types of products that are offered in financial markets, including derivatives, options, futures, swaps, and other financial instruments. The regulation of these instruments varies between countries based on their respective laws and policies.

Exchange-Traded Funds (ETFs): These are financial products that track market indices, and allow investors to buy and sell a basket of financial assets. ETFs are widely popular as they offer investors exposure to different assets with low cost and low management fees.

Globalization: This refers to the trend of increased economic and cultural interdependence between countries. It has created a need for international regulation of finance to coordinate global investments and to prevent destabilizing financial flows that affect a developing country economy or market adversely.

Financial Stability: Stability of the financial system is important to ensure that countries have well-functioning financial system, and to prevent or mitigate financial crises. Various measures including macroprudential policy and regulatory and supervisory frameworks seek to ensure financial stability.

Risk Mitigation: This refers to the various measures put in place to mitigate financial risks such as operational, market, credit and liquidity risks. The measures include adequate risk management systems and tools, the protection of consumers and investors, and resilience testing of financial institutions.

Basel Accord: This framework is an international set of banking regulations developed by the Basel Committee on Bank Supervision to ensure financial stability.

International Accounting Standards (IAS): A set of accounting standards developed by the International Accounting Standards Board (IASB) to streamline and standardize accounting principles globally.

International Financial Reporting Standards (IFRS): Set of accounting standards developed by the International Accounting Standards Board (IASB) for use across the globe.

International Securities and Exchange Commission (ISEC): An international organization that provides regulatory oversight of securities, and exchange commission to protect investors.

International Money Laundering Regulations: Regulations implemented to detect and prevent the movement of illicit funds across borders.

Foreign Account Tax Compliance Act (FATCA): Requires international banking institutions to share financial data with the US Treasury in order to ensure compliance with US tax regulations.

Multilateral Investment Guarantee Agency (MIGA): A World Bank group agency that provides insurance services to investors in high-risk areas.

International Monetary Fund (IMF): Provides financial assistance to struggling countries to help stabilize economies.

World Bank: An international financial institution that provides loans and assistance for development projects in developing countries.

European System of Financial Supervision (ESFS): A regulatory framework that oversees the financial and banking sector within the European Union.

Financial Stability Board: An international regulatory agency that oversees and coordinates the work of different regulatory bodies to foster international cooperation on financial stability matters.

International Capital Markets Association (ICMA): An organization that promotes financial industry best practices and standards for international capital markets.

International Swaps and Derivatives Association (ISDA): An organization that represents participants in the global derivatives markets by establishing standards and protocols for trading.

Trans-Pacific Partnership (TPP): An agreement that aims to create deeper economic ties between the Asia-Pacific region and the US through lowering trade and investment barriers.

International Trade Agreements: Various agreements that are developed between different countries, aiming to ease trade regulations, reduce trade barriers and facilitate international trade.

International Clearing Houses: Formed to help investors manage global risk by allowing them to exchange financial instruments and to reduce counterparty risk.

Foreign Exchange Regulation: Internationally agreed upon regulations that govern foreign exchange trading globally.

International trade law regulations: These regulations govern the commercial transactions between countries, including import/export, and international investment relations.

International Investment Law: Laws that promote the protection of foreign investors from unfair practices in the pursuit of investment opportunities.

International Anti-trust laws: Laws agreed upon to prevent market monopolies, promote fair competition and protect consumers in the international business world.