Contribution of Deutsche Bundesbank
to the Newsletter of CEMLA

Successful Seminar of Deutsche Bundesbank on Controlling issues in Mexico.

In May 2007 CEMLA organised in cooperation with the Deutsche Bundesbank a successful seminar on different aspects of “Controlling at Central Banks”. The seminar, which was held in Mexico City, was attended by a large number of representatives from central banks in Latin America and the Caribbean.

In his introductory presentation Michael Peschel, the Chief Controlling Officer of the Deutsche Bundesbank, gave a comprehensive overview of corporate governance issues affecting a central bank. He underlined that good governance could help a central bank to be accountable and thereby support its statutory tasks, especially the independent implementation of monetary policy.

Of enormous interest was Mr Peschel’s contribution on strategic planning at the Bundesbank. He concentrated on the recent process of strategy development and implementation in the course of formulating the “Strategy 2012”. According to Mr Peschel, a strategic plan could be of the utmost importance to any central bank in safeguarding its stability in an environment of political and economic change.

Ms Angela Klug, a Bundesbank expert in management accounting issues, presented the methods and techniques used at the Bundesbank in the field of cost accounting. Developed and improved over more than a decade, these methods and techniques play a crucial role in supporting the Bundesbank’s Executive Board in its decision-making and contribute to the efficient and effective fulfilment of the tasks to be performed by the German central bank.

The seminar was rounded off by the highly topical subjects of business continuity planning and operational risk management. Mr Karsten Salzburg in his capacity as Head of the Organisation Division enriched his presentations with a number of practical examples from his vast experience. He emphasised that, owing to its unique role in the financial system of an economy, a central bank has a fundamental responsibility to ensure a proper and continuous functioning of its critical systems.

The vivid style of the speakers was highly appreciated by all seminar participants, and the opportunities to continue with discussions and exchange of views before and after the sessions were especially popular. It was generally agreed that it was and will be beneficial to discuss controlling and risk-management-related issues on a regular basis and thereby share the experiences gained by the Bundesbank over the past few years.

Newsletter 16, septiembre de 2007