The Bank of Italy participates in many international economic and financial organizations and institutions (notably, the Bank for International Settlement, the International Monetary Fund, the World Bank and some regional development banks), acting as Italy’s representative and providing support to the Government. The Bank also participates in the work of the G7, the G20, the Financial Stability Board and the main OECD committees and working groups.
Main International Organizations and Groups in which the Bank of Italy Participates
The Bank for International Settlement (BIS), with its registered office in Basel, has 60 central banks as its shareholders, including the Bank of Italy, which is also a founder member. The BIS fosters monetary and financial cooperation among central banks and provides foreign reserve management services; it also carries out economic and monetary research and produces statistics on the international banking and financial system.
The BIS also provides the permanent committees engaged in promoting international financial and monetary stability with secretariat services, namely the Committee on the Global Financial System (CGFS), the Committee on Payment and Settlement Systems (CPSS), the Basel Committee on Banking Supervision (BCBS) and the Financial Stability Board (FSB). The Bank of Italy is present on all these committees.
The International Monetary Fund (IMF) is an international financial institution created in 1944 at the Bretton Woods conference to promote international monetary cooperation, the growth of world trade, trade stability and a stable exchange rate system, to support economic growth, job creation and poverty reduction, and to provide financial assistance to countries with a balance of payments disequilibrium.
Such objectives are pursued through the recourse to the following main instruments: (a) surveillance of economic and exchange rate policies; (b) research and collection of statistics for the analysis of national, regional and global economic growth; (c) disbursement of loans to countries in difficulty and to developing countries in order to support anti-poverty policies; and (d) supply of technical assistance services.
The Minister of Economy and Finance is Italy's representative (Governor) together with the Governor of the Bank of Italy (Alternate Governor).
The Bank of Italy and the Ministry of Economy and Finance also contribute to defining the stance of the Italian Executive Director on the Fund's Board of Directors.
The World Bank is an international financial institution established at the Bretton Woods conference in 1944. The initial aim of financing post-war reconstruction has become broader over time; it now includes poverty reduction and the promotion of shared prosperity. These objectives are pursued through the disbursement of loans and grants, the granting of guarantees and the supply of risk-management products, consultancy services and technical assistance.
The governing body of the World Bank is the Board of Governors, one for each member country. The Governor of the Bank of Italy is Italy's representative (Governor), together with the Minister of Economy and Finance (Alternate Governor), and contributes to the decisions taken by the Italian Executive Director on the World Bank’s Board of Directors.
The Governor of the Bank of Italy is also a Governor of the Asian Development Bank (ADB) and an Alternate Governor of the Inter-American Development Bank (IDB). The two institutions promote economic development and poverty reduction at regional level.
The Organization for Economic Co-operation and Development (OECD), set up in 1961 to foster economic growth and the expansion of world trade, currently has 38 member countries. Analysis of the policies of the member countries in the fields falling within the OECD's scope is carried out by numerous committees and working groups.
The Bank of Italy participates in the work of committees addressing economic and financial questions, such as the Economic Policy Committee, the Economic and Development Review Committee and the Committee on Financial Markets.
In addition to the summits of the Heads of State and Government of the seven major advanced economies - United States, Japan, Germany, France, Italy, United Kingdom and Canada (the G7), - there are meetings of finance Ministers and central bank Governors. The euro area is represented by the President of the Eurogroup and the President of the European Central Bank.
The Minister of Economy and Finance and the Governor of the Bank of Italy represent Italy.
The G20 is an informal body set up in 1999 with the aim of broadening the examination of major issues for global economic stability to include countries of systemic importance. It has grown in importance since 2008, when the first meeting of Heads of State and Government was held. Since then the G20 has been the main international forum for debating economic policy measures aimed at strengthening the global economy, reforming international financial institutions and improving financial regulation.
The finance Ministers and central bank Governors of nineteen industrial and emerging countries participate in the G20: the G7 countries, Saudi Arabia, Argentina, Australia, Brazil, China, South Korea, India, Indonesia, Mexico, Russia, South Africa and Turkey, as well as the ECB and the European Union (represented by the person holding the rotating presidency of the Council of the European Union). The G20 also benefits from the contribution of the main international institutions (the IMF, the World Bank, the Financial Stability Board and the OECD). The Minister of Economy and Finance and the Governor of the Bank of Italy represent Italy.
The Financial Stability Board (FSB), in operation since 2009, replaced the Financial Stability Forum, which had been set up in 1999 within the G7. Many advanced and emerging countries are members, as well as representatives of the major international institutions.
The Financial Stability Board provides international coordination for the national authorities competent for financial matters and for supranational organizations; it also promotes policies in the fields of regulation and supervision of markets and intermediaries.