Training Program

Officials from central bank financial stability departments, banking regulatory and supervisory bodies, and ministries of finance.

Participants are expected to have a degree in economics or finance. Experience with financial stability analysis is highly desirable.

This course, presented by the Monetary and Capital Markets Department, provides a comprehensive overview of the theories, tools, and techniques necessary for thorough financial stability analysis. Topics include: Systemic risk assessment using a variety of models: their pros and cons, and how they are related; Tools for monitoring systemic risk: risk dashboard; Modeling links and feedback loops between macroeconomic variables and the financial sector, and vulnerabilities and risks of banks, nonbank financial institutions, non-financial corporates, households, and general government; Extracting information from firms’ balance sheets and market data; High level overview of macro-financial risk analysis using stress testing of banks and non-bank financial institutions, corporates, and households; High level overview of networks: contagion and interconnectedness analysis; Overview of climate risk analysis and stress testing; Analysis of country cases when comprehensive public and market data are available; and Analysis that can be carried out in data-constrained countries (illustrated by country case studies and workshops with spreadsheets).