2012年-IMF国际货币组织全球_Israel_Report_on_the_Observance_of_Standards_and_Codes_56页_1mb

Israel: Report on the Observance of Standards and Codes Summary

Core Content

This document is a Report on Observance of Standards and Codes (ROSC) for Israel's financial sector, prepared by the IMF in March 2012 following an FSAP Update mission in November 2011. It evaluates the implementation of Basel Core Principles (BCP), Insurance Core Principles (ICP), IOSCO Objectives and Principles of Securities Regulation, and CPSS Core Principles of Systemically Important Payments Systems (CPSIPS). The report highlights the high level of compliance with international standards, but also identifies areas for improvement in the regulatory and supervisory frameworks.

Main Findings

1. Banking Sector

• Regulation and Supervision: Overall, the banking sector is aligned with international standards, with a proactive and updated regulatory framework.
• Strengths: Strong prudential oversight, conservative management, limited interbank interconnectedness, and effective supervision.
• Weaknesses: Areas requiring improvement include the regulation and supervision of interest-rate risk, market risk, and liquidity risk; as well as flexibility and autonomy in personnel management and budgets.

2. Insurance Sector

• Regulation and Supervision: The insurance sector is also in line with international standards, with a comprehensive legal and regulatory framework.
• Weaknesses: Identified areas for improvement include cross-border supervisory cooperation and information-sharing, and group supervision and regulation.

3. Securities Market Oversight

• Regulation and Supervision: The securities market is well-regulated, but there are gaps in covering unregulated broker-dealer activities and some over-the-counter (OTC) derivatives activity.

4. Payments Systems

• Regulation and Supervision: The Zahav system is reliable and efficient, operating as a real-time gross settlement (RTGS) system.
• Weaknesses: Areas for improvement include oversight of the payments system, strengthening multilateral net settlement systems, and business continuity and disaster recovery mechanisms.

Key Areas for Improvement

• Banking:

  • Regulation and supervision of interest-rate risk, market risk, and liquidity risk.
  • Flexibility and autonomy in personnel management and budgets to attract and retain skilled professionals.

• Insurance:

  • Cross-border supervisory cooperation and information-sharing.
  • Group supervision and regulation.

• Securities Market Oversight:

  • Coverage of unregulated broker-dealer activity.
  • Some OTC derivatives activity.

• Payments Systems:

  • Oversight of the payments system.
  • Strengthening multilateral net settlement systems.
  • Business continuity and disaster recovery mechanisms that integrate with central bank and financial sector systems.

Regulatory and Supervisory Framework

• The Bank of Israel (BOI) is the primary institution responsible for banking supervision and payments system oversight.
• The Israel Securities Authority (ISA) oversees the securities sector.
• The Commissioner of Capital Markets, Insurance, and Savings (CCMIS) at the Ministry of Finance (MOF) handles the insurance and pension sectors.
• Memoranda of Understanding (MOUs) exist between BOI, ISA, and CCMIS to facilitate information sharing and cooperation.

Institutional and Market Structure

• The main financial institutions are banks and insurance companies.
• Banks focus on traditional banking activities after the Bachar reform (2005), with assets around 140% of GDP.
• The financial sector is highly concentrated, with limited foreign ownership.
• The securities market is regulated by the Tel Aviv Stock Exchange (TASE) and the Israel Securities Authority (ISA).

Compliance and Implementation

• Compliance with BCP: Overall compliance is high, with most deficiencies being low materiality or being addressed.
• Compliance with ICP: The legal and regulatory framework is comprehensive, but cross-border cooperation and group supervision need enhancement.
• Compliance with IOSCO Principles: The legal framework is well-developed, but unregulated broker-dealer activity and OTC derivatives require more attention.
• Compliance with CPSIPS: The Zahav system is secure and efficient, but there is room for improving multilateral net settlement systems and business continuity mechanisms.

Legal and Institutional Framework

• The legal framework is comprehensive and regularly updated.
• Accounting standards are based on a mix of U.S. GAAP and IFRS, with plans to transition to IFRS only.
• Internal control and audit are governed by a piecemeal approach, requiring more comprehensive regulations.
• The BOI has de jure and de facto independence, but MOF influence on employee salaries may compromise this independence.

Recommendations and Authorities' Response

• The authorities have responded positively to the recommendations.
• A program to strengthen regulations and supervisory practice is actively being pursued.
• Transition to IFRS is planned for the banking sector.
• Enhanced cross-border cooperation and group supervision are under consideration.
• Improvements in risk assessment and information sharing with foreign authorities are recommended.

Conclusion

The financial sector in Israel is generally in compliance with international standards, supported by strong institutions, proactive supervision, and robust regulatory frameworks. However, there are identified gaps in several areas, particularly in risk management, supervisory powers, and cross-border coordination, which require further improvements to ensure long-term financial stability and systemic resilience.