BRIEFLY DISCUSSED THE FOLLOWING QUESTIONS BELOW:

1. Explain the regulations & supervisions of Financial Institutions

The goal of supervision is to assess the financial health of banking organizations as well
as their compliance with laws and regulations. And regulations issued by the Fed are
frequently in reaction to specific legislation passed by Congress. Countries should
ensure that financial institutions are subject to adequate regulation and supervision and
are effectively implementing the FATF Recommendations. Competent authorities or
financial supervisors should take the necessary legal or regulatory measures to prevent
criminals or their associates from holding, or being the beneficial owner of, a significant
or controlling interest, or holding a management function in, a financial institution.The
regulatory and supervisory procedures that apply for prudential objectives and are also
relevant to money laundering and terrorist financing should apply similarly for AML/CFT
purposes for financial institutions according to the Core Principles. Consolidated group
supervision should be used for AML/CFT objectives.

2. Identify the financial services of banking institutions.

Financial services make up one of the economy's most important and influential sectors.
A. Banking- it entails depositing money into checking and savings accounts as well
as lending money to customers.
B. Advisory- This area of financial services assists both individuals and businesses
with a number of activities.
C. Asset Management- this form of financial service assists consumers in saving
money wisely and earning a return on their investment when possible.
D. Investing in Mutual Funds-mutual fund institutions provide a sort of investing in
which several parties participate.
E. Insurance-most individuals have some concept of insurance; it is a system that
you pay into on a monthly or annual basis that works as a safety net and covers
the costs of major, often unplanned, expenditures.

3. Discuss the benefits of bank supervision.

The implication of banking supervision is first, the trend of relying on internal risk
management systems and controls as the primary assurance of prudent operation
should be maintained. Second, create a capital-adequacy system that reinforces
incentives to correctly limit and price risk-taking throughout the cycle. Third, to
encourage efforts that allow national experts from both industrial and emerging
economies to develop and disseminate best practices. Financial institutions, particularly
banks, require supervision in order to remain in sync with market dynamics and
successfully integrate with other components of overall systemic stability. And there is a
genuine requirement for capital holding to be compatible with risk-taking.

4. Explain the role of the IMF in Central Banking.

The IMF assists governments all over the world by providing policy advice and technical
assistance. Their role is to foster international monetary cooperation by creating a
permanent institution that offers the infrastructure for consultation and collaboration on
international monetary issues. Also,facilitate the expansion and balanced growth of
international commerce, and thus contribute to the promotion and maintenance of high
levels of employment and real income, as well as the development of all members'
productive resources, as primary goals of economic policy. And promoting exchange
stability, maintaining orderly exchange arrangements among members, and avoiding
competitive exchange depreciation. Additionally, to aid in the construction of a
multilateral payment system for current transactions between members, as well as the
abolition of foreign exchange limitations that impede global trade growth. Lastly is to
instill confidence in members by making the Fund's resources available to them under
proper safeguards, allowing them to repair imbalances in their balance of payments
without resorting to actions detrimental to national or international economy. In
accordance with the foregoing, to shorten the period and reduce the degree of
disequilibrium in members' international balances of payments.

5. Discuss the organizational & objective of the IMF.

The IMF has a management team and 17 departments that carry out its country, policy,
analytical, and technical work. One department is charged with managing the IMF's
resources. This section also explains where the IMF gets its resources and how they are
used.The rest of the IMF comprises the area departments, functional and special
services departments, information and liaison department and offices, and support
departments. Each department and each unit in the Managing Director’s Office is
headed by a Director who reports to the Managing Director. On the other hand, the
objective of the IMF or International Monetary Fund is to strengthen human and
institutional capacity. This is very important for countries with previous policy failures,
weak institutions, or scarce resources. Through capacity development, member nations
can help strengthen and improve growth in their economies and create jobs. And it is
their job to maintain global monetary stability. As a result, its first task is to keep an eye
on the economies of the 190 countries that make up the organization. Economic
monitoring is carried out on a national and global scale. The IMF keeps track of changes
that have an impact on member economies via economic surveillance.