Supervisory areas In this regard, supervisor must review and assess the scope of business continuity plan which should be established in an enterprise-wide basis. Also, the best way to determine how well the plan works or which portions of the plan need improvement is through testing. We encourage financial institutions to test the disaster recovery plan at least once a year. Finally, financial institutions should have a procedure in place to update the plan regularly. 4. IT examination and risk assessment  Objective The objective of IT examination and risk assessment is to assess a financial institution's IT management and operation to ensure accuracy and reliability of information system as well as its alignment with the financial institution's business objectives which can eventually bring in the safety and soundness. IT examination process There are three main steps to be taken when performing IT examination. 6  BIS Review 35/2005  1. Pre -examination  This step is the process of gathering the information about the financial institution on which we will conduct examination. The information including business nature, objective, policy, plan, IT infrastructure and organization chart can be obtained from previous examination reports, internal database and external sources. At this step, IT examiners will coordinate with Onsite examiners to share information and identify areas of concerns. With all of the gathered information, examiners can preliminarily assess IT role in supporting FI business and prepare scope of examination. 2. Onsite examination  The next step is to conduct onsite examination at a financial institution.

How might this work in practice? Member countries would each provide a systematic description of their chosen policy frameworks in key areas - relating to monetary, fiscal, financial, and exchange rate policies. For these purposes, a policy framework is just a more or less formal description of a country’s policy objectives and the policy instruments that have been assigned to meet them, including any policy rules, targets or strategies that may be used as a guide to decision-taking. This approach would exploit the Fund’s already significant access to information about members’ policy frameworks, and if necessary its power to request more. And it would also avoid prescription and explicitly recognise members’ undoubted right to choose their own policy frameworks, providing that they are consistent with their commitments under the Articles. Given this starting point, Fund surveillance could then focus on two key sets of issues. First, is an individual country’s set of monetary, fiscal, financial, and exchange rate frameworks internally consistent? The key questions would be: is this a sustainable approach to policy? And is policy being implemented in a way which is consistent with the stated framework? Taken together are the policy frameworks adopted by a member consistent with its obligations under the Fund’s Articles, including the member’s overarching commitment to collaborate with the Fund and other members to assure external stability? The Asian crisis of the late 1990s illustrates the problems that can develop from internally inconsistent financial and exchange rate policies.