There should be strong and widespread political will. For example, the Capital Market Development Plan was initiated unilaterally by the Securities and Exchange Commission and clearly was not reflective of industry sentiment and therefore did not enjoy widespread support. In the case of the Office of the Insurance Commission, pressure from the industry to postpone higher required capitalization contributed to a change in the Insurance Commissioner and a reduction in political will in support of reform. However, the pace of program implementation and reforms accelerated significantly under the new government. A new capital market development plan was launched, under the close leadership of the Ministry of Finance (MOF), which benefited from widespread stakeholder consultations and support. Likewise, increased capital standards have been applied legislatively to the insurance sector with strong MOF support.
Financial Market Regulation and Intermediation Program