ANNUAL REPORT 2008 - Polymer Bank Notes of the World

countries have voiced support for the principlesand expressed particular interest in advancingtheir implementation. At its last meeting inWashington, D.C. in October 2008, the Groupof Trustees, a body comprising senior leadersin global finance established to guide theimplementation of the principles, reviewed theprogress being made within the framework ofthe international financial architecture and gaveguidance for future work.Another financial market initiative taken in 2008was the development of the Santiago Principlesby the International Working Group of SovereignWealth Funds. Jointly agreed by sovereignwealth funds from advanced, emerging anddeveloping economies, the principles representa collaborative effort to set out a comprehensiveframework to improve the understanding of theoperations of sovereign wealth funds. The aim ofthese principles, which are voluntary in nature,is to enhance the stabilising role played bysovereign wealth funds in financial markets andto help to maintain the free flow of cross-borderinvestment. The OECD is providing guidance onthe policies of recipient countries with regard toinvestments by sovereign wealth funds.2.2 COOPERATION WITH COUNTRIES OUTSIDETHE EUThe Eurosystem continued to foster itsinternational activities with the central bankingcommunity outside the EU through theorganisation of seminars and workshops. Inaddition, the technical assistance provided bythe Eurosystem remained an important tool forstrengthening the administrative capacity ofcentral banks, especially in the EU’s neighbouringregions, and enhancing compliance withEuropean and international standards. The ECBalso actively participated alongside the EuropeanCommission in the EU’s macroeconomicdialogue with China, India and Russia.began a nine-month programme of technicalassistance with the National Bank of Serbia. Theprogramme, funded by the European Agency forReconstruction, will provide the National Bank ofSerbia with a needs analysis report on progress tobe made in selected central banking areas inpreparation for EU accession. The areas to becovered are the supervision of banks; theharmonisation of legislation in line with the acquiscommunautaire under the competence of theNational Bank of Serbia; the liberalisation ofcapital movements; the conduct of monetarypolicy and the foreign exchange rate regime;monetary, financial and balance of paymentsstatistics; and financial services consumerprotection.Technical cooperation with the Bank of Russiaintensified with the start on 1 April 2008 ofa new central bank cooperation programme,funded by the European Commission. Thisprogramme involves the ECB in partnershipwith the Deutsche Bundesbank, the Bank ofGreece, the Banco de España, the Banque deFrance, the Banca d’Italia, De NederlandscheBank, the Oesterreichische Nationalbank, andSuomen Pankki – Finlands Bank in cooperationwith Rahoitustarkastus (the financial supervisionauthority of Finland). It will end in December2010. The aim of the programme is to share EUknowledge and experience with the Bank ofRussia in the area of internal audit and to supportit in the gradual implementation of the Basel IIprinciples in the banking supervisory framework.The fifth high-level Eurosystem seminarwith governors of central banks of the EU’ssouthern and eastern Mediterranean partners –co-organised by the ECB and the Central Bank ofEgypt – took place on 26 and 27 November 2008in Alexandria. Governors reviewed recenteconomic and financial developments in theregion and discussed monetary policy strategiesand exchange rate regimes as well as bankingsector issues in Mediterranean countries. ECBThe ECB continued to deepen its relations withcountries in the western Balkans. On1 September 2008 the ECB and 17 EU NCBs 6180 ECBAnnual Report20086The NCBs of Belgium, Bulgaria, the Czech Republic, Denmark,Germany, Estonia, Greece, France, Italy, Cyprus, Latvia,Hungary, the Netherlands, Austria, Poland, Romania and theUnited Kingdom.