Banking Supervisors and External Auditors : Building a Constructive Relationship
The 2008 financial crisis highlighted weaknesses in the risk management, control and governance processes of banks as well as in their statutory audit and financial supervision. This led to increased scrutiny of the respective roles and interaction...
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World Bank, Vienna
2016
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| Online Access: | http://documents.worldbank.org/curated/en/2016/08/26709796/banking-supervisors-external-auditors-building-constructive-relationship-supervisors-insights http://hdl.handle.net/10986/25074 |
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okr-10986-250742021-04-23T14:04:28Z Banking Supervisors and External Auditors : Building a Constructive Relationship World Bank Group external audits bank supervision communication financial supervision The 2008 financial crisis highlighted weaknesses in the risk management, control and governance processes of banks as well as in their statutory audit and financial supervision. This led to increased scrutiny of the respective roles and interactions of banking supervisors and external auditors who are key contributors to market discipline. Auditors ensure that financial information is transparent and reliable while supervisors provide confidence in the financial systems. Both supervisors and auditors allow market players to make informed decisions and contribute to financial stability. Since 2008, regulators and lawmakers have strived to address the shortcomings identified during the crisis by taking various initiatives to reform the international financial architecture In particular, a 2014 Basel Committee on Banking Supervision paper explored the interaction between supervisors and external auditors and linked their enhanced relationships with improved audit quality of banks’ financial statements and effective banking supervision. This report presents the findings of the survey conducted by the World Bank Centre for Financial Reporting Reform (CFRR) – Financial supervisors and external auditors: building a constructive relationship. The survey was sent to supervisors from the European Union and other countries in Eastern Europe, South Eastern Europe and the South Caucasus to explore practices that make better use of information provided by external auditors and influence the audit quality of banks’ financial statements. The report was developed after several workshop discussions amongst senior staff from central banks and banking regulatory agencies, who recognized the importance of an effective relationship to assist both supervisors and auditors in discharging their duties. 2016-09-14T20:53:09Z 2016-09-14T20:53:09Z 2015 Working Paper http://documents.worldbank.org/curated/en/2016/08/26709796/banking-supervisors-external-auditors-building-constructive-relationship-supervisors-insights http://hdl.handle.net/10986/25074 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Vienna Publications & Research Publications & Research :: Working Paper |
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Digital Repository |
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Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
external audits bank supervision communication financial supervision |
| spellingShingle |
external audits bank supervision communication financial supervision World Bank Group Banking Supervisors and External Auditors : Building a Constructive Relationship |
| description |
The 2008 financial crisis highlighted
weaknesses in the risk management, control and governance
processes of banks as well as in their statutory audit and
financial supervision. This led to increased scrutiny of the
respective roles and interactions of banking supervisors and
external auditors who are key contributors to market
discipline. Auditors ensure that financial information is
transparent and reliable while supervisors provide
confidence in the financial systems. Both supervisors and
auditors allow market players to make informed decisions and
contribute to financial stability. Since 2008, regulators
and lawmakers have strived to address the shortcomings
identified during the crisis by taking various initiatives
to reform the international financial architecture In
particular, a 2014 Basel Committee on Banking Supervision
paper explored the interaction between supervisors and
external auditors and linked their enhanced relationships
with improved audit quality of banks’ financial statements
and effective banking supervision. This report presents the
findings of the survey conducted by the World Bank Centre
for Financial Reporting Reform (CFRR) – Financial
supervisors and external auditors: building a constructive
relationship. The survey was sent to supervisors from the
European Union and other countries in Eastern Europe, South
Eastern Europe and the South Caucasus to explore practices
that make better use of information provided by external
auditors and influence the audit quality of banks’ financial
statements. The report was developed after several workshop
discussions amongst senior staff from central banks and
banking regulatory agencies, who recognized the importance
of an effective relationship to assist both supervisors and
auditors in discharging their duties. |
| format |
Working Paper |
| author |
World Bank Group |
| author_facet |
World Bank Group |
| author_sort |
World Bank Group |
| title |
Banking Supervisors and External Auditors : Building a Constructive Relationship |
| title_short |
Banking Supervisors and External Auditors : Building a Constructive Relationship |
| title_full |
Banking Supervisors and External Auditors : Building a Constructive Relationship |
| title_fullStr |
Banking Supervisors and External Auditors : Building a Constructive Relationship |
| title_full_unstemmed |
Banking Supervisors and External Auditors : Building a Constructive Relationship |
| title_sort |
banking supervisors and external auditors : building a constructive relationship |
| publisher |
World Bank, Vienna |
| publishDate |
2016 |
| url |
http://documents.worldbank.org/curated/en/2016/08/26709796/banking-supervisors-external-auditors-building-constructive-relationship-supervisors-insights http://hdl.handle.net/10986/25074 |
| _version_ |
1764458312597766144 |