20220227-IMF-Zimbabwe_Technical_Assistance_Report-Undertaking_Supervisory_Examinations_Remotely_Due_to_COVID-19_Operational_Restrictions_17页_568kb

Executive Summary

The report discusses the Reserve Bank of Zimbabwe's (RBZ) request for technical assistance to review its draft remote examination framework and gather best practices for conducting supervisory examinations remotely due to COVID-19 operational restrictions. The assistance involved training from international supervisors (Bank of Ghana, Bank of Thailand, and De Nederlandsche Bank) and a review of the RBZ's framework. Key recommendations include ensuring effective IT communication, adjusting examination scope and timelines, clarifying remote limitations, and structuring practical remote examination processes. Feasibility assessments vary by examination area, with some (e.g., Risk Management, Accounting, and Finance) being easily adapted, while others (e.g., Branch Operations and Credit Risk) pose challenges.

Key Findings and Recommendations

• Considerations for Remote Examinations:
  • Effective IT services and communication channels are crucial.
  • Scope must be realistic based on digital accessibility.
  • Allot more time for remotely conducted examinations.
  • Clear communication in closing meetings and reports about limitations.
  • Use virtual tools like videoconferencing and secure digital platforms.
• Framework Enhancements:
  • Include detailed IT duties and communication protocols.
  • Specify tools for meeting setups and declarations.
  • Add guidance on handling declarations and ensuring data security.

Examination Feasibility by Area

• Risk Management: Remotely viable with focus on limit monitoring.
• Accounting and Finance: Similar to on-site; rely on external auditor input.
• Credit Risk: Limited by file digitization efforts; adjust coverage.
• Branch Operations: Highly challenging due to physical requirements.
• Governance and Internal Audit: Remotely feasible with videoconferencing.
• IT Security: Partially assessable via remote tools, with limitations.

Key Documents

• Appendices:
  • Provides points for consideration and suggested amendments.
  • Summarizes feasibility across examination areas.
• Glossary: Definitions of technical terms used.