AMF stresses the importance of financial supervision to avoid crises

Views 29 Date 08/29/2016 - 19:05

Economy News / Agencies ...

AMF confirmed that the financial sector is of major importance in the economies of countries to take shape in the role it plays in the economic growth process through efficient financial intermediation, which provide funding for investment and enhance performance.

The Director-General of the Fund Abdulrahman bin Abdullah Al Hamidi at the opening of «joint session of macroeconomic management and financial sector issues» by the Fund organized in collaboration with the International Monetary Fund in Algeria that «the many functions of the financial sector, which is reflected in the compilation of the savings and evaluate the best investment and risk management and pricing, and reduce the cost of trade, and conducting clearing operations and settlement of payments, and the mechanism for the transmission of the effects of monetary policy, it should be beneficial to the economy and the pace of growth ».

He said in a speech delivered on his behalf by the head of department training programs in «Economic Policy Institute» Ibrahim Alkrnh: «Despite the importance of which is occupied by the financial sector in economic growth, but the lack of ability to carry out its functions in the desired shape during the crisis will affect the efficiency of the economy and growth, as during the global financial crisis occurred in 2008 ».

He pointed out that «the consequences of this crisis has demonstrated the urgency of the need to give the subject of control of the importance needed to avoid such a crisis in the future, or at least reduce the severity of the financial system if got».

He pointed out that «the current session will discuss the objectives and policies of macroeconomic stability and its relationship with the financial markets and the impact of monetary policy, economic policy and exchange rate policy and the sustainability of public finances and the development of external debt on the overall economy and the work and the performance of the financial sector, in addition to capital flows issues and its effects on growth and productivity and the determinants of these flows between countries. »

The review session, which runs until September 8 (September), to guard against the college and its relationship to financial stability and ways to conduct a stress test to see how the financial system's ability to cope with shocks, as well as analysis of financial crises and ways to avoid them policies file.

And dealing with concepts process that is closely related to the work of the Fund and its activities in the field of lending to the Member States concerned with the implementation of programs to stabilize the economy and corrected and practice session.

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