Financial System Supervision
Overview of the Bank of Zambia's supervisory approach and methodologies for ensuring a safe and sound financial system.
Supervisory Functions
On-site Examination
Regular inspections of financial institutions to assess compliance, risk management, and overall health.
Off-site Surveillance
Continuous monitoring through analysis of regulatory returns, financial statements, and market intelligence.
Risk-Based Supervision
Supervisory resources allocated based on the risk profile and systemic importance of institutions.
Prudential Standards
Setting and enforcing capital, liquidity, and other prudential requirements for financial institutions.
Corporate Governance
Ensuring sound governance practices including fit and proper requirements for directors and management.
Enforcement Actions
Taking corrective and remedial actions against institutions that violate regulatory requirements.
Supervisory Approach
Risk-Based Framework
The Bank of Zambia employs a risk-based supervisory approach that focuses resources on areas of highest risk. This approach considers both the probability of an institution failing and the impact such failure would have on the financial system.
International Standards
Our supervisory framework aligns with international standards including the Basel Core Principles for Effective Banking Supervision and recommendations from the Financial Action Task Force (FATF).