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	Table of Contents
p. 9 of 58 BACK | NEXT Purpose and Structure of the Toolkit Part One: Introduction and Overview I. The Financial Sector: An Overview II. International Financial Standards and Standard-Setting Organizations A. Coordination of International Regulatory Standards B. Standard-Setting and Standard-Setting Organizations C. Compendium of Standards D. G20 Summit Communique (April 2009) III. Implementation and Monitoring Part Two: Preconditions and Infrastructure for Financial Sector Development Part Three: Financial Regulation and Supervision Part Four: Regional Financial Integration Part Five: ADB's Intervention in the Financial Sector Bibliography Glossary and List of Abbreviations Acknowledgements

Financial Sector Legal and Regulatory Toolkit : Part One: Introduction and Overview : II. International Financial Standards and Standard-Setting Organizations

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B. Standard-Setting and Standard-Setting Organizations

The FSF has agreed upon twelve core areas for standards, which in turn include a total of fifteen individual key standards. These key standards are grouped into three main categories: (i) macroeconomic policy and data transparency, (ii) institutional and market infrastructure, and (iii) financial regulation and supervision. Each set of key standards is supported by a methodology for assessment and implementation and a variety of related principles, practices, and guidelines.

Standards are set by a range of different bodies. These can largely be grouped into international financial institutions (IFIs), other formal international organizations, and international financial organizations (IFOs). IFOs are mainly regulators, central banks, professional groups, market associations, expert groups, and legal groups.

Standard-setting processes appear to follow a similar pattern, with the basic elements (for both initial development and revision) appearing as follows:

1. networking and lobbying by potential standard setters for mandates to develop standards in various areas;
2. support through the G-7, G-20, FSF, or other bodies for a standard development process to proceed;
3. international process of awareness building and discussion of issues;
4. multilateral technocratic cooperation in drafting;
5. support from the governing body of the standard setting organization;
6. testing of use of standard in monitoring and implementation;
7. finalization of guidance and supporting materials; and
8. approval by the governing body of the standard-setting organization(s) and referral to other bodies such as the G-7, G-20 or FSF.

While neither formal nor completely transparent, the process of standard-setting does appear to be taking place on a multilateral, political, and technocratic basis, thereby resulting in standards with wide support.

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