JVI plans to resume classroom training as soon as the COVID-19 health situation allows. This course is scheduled to take place at JVI, but may have to be delivered virtually in case safe travel to and in-person training in Vienna will not be possible. The decision to offer virtual instead of onsite training will be made within two months of the course start date.
TARGET GROUP | Junior to senior government officials engaged in setting policy for the financial sector, particularly the staff of central banks, financial regulators, and any other agencies involved in micro- or macroprudential oversight. Participants are expected to have an advanced degree in economics or finance, or equivalent work experience; a basic understanding of econometrics; the ability to interpret econometric results; and working knowledge of Excel. It is strongly recommended that applicants have completed the online Financial Market Analysis (FMAx) course and the Financial Sector Surveillance (FSS) course because understanding and assessing financial sector risks is important to the design of mitigating policies.
DESCRIPTION | This two-week course, presented by the IMF´s Institute for Capacity Development, begins with an overview of how risks are transmitted within and between the financial and real sectors. Participants then examine the design and impact of financial sector policies for mitigating vulnerabilities by starting with the rationale for both microprudential and macroprudential policies. The interactions between macroeconomic and prudential policies are also discussed. Although the emphasis is on preventive strategies, the course discusses policies to deal with financial distress situations. The combination of lectures, case studies, and hands-on workshops allows participants to discuss and experiment with various policies to gauge their outcomes, intended and unintended. Those who are primarily interested in risk assessment are referred to the Financial Sector Surveillance course, where that is the focus.
OBJECTIVES | Upon completion of this course, participants should be able to: Identify channels through which shocks are transmitted between the financial sector and the real economy, and within and between financial systems. Analyze relevant micro- and macroprudential policies, how they are likely to interact with other policies, and any possible unintended consequences. Recommend macroprudential tools to prevent and mitigate systemic risk and identify likely specific implementation challenges. Assess the effectiveness of microprudential and macroprudential policies.