Emerging Asian macroprudential frameworks now include the basic elements that
have emerged (and are still being developed) as international “best practices”. Most of the
countries publish financial stability reports detailing the conditions and vulnerabilities
of banks and other major financial segments to internal and external shocks. The
countries all participate in the IMF’s financial stability assessment programme, which
provides another, outside review of the vulnerabilities and resilience of their financial
systems. Macroprudential assessments include detailed simulations (“stress tests”) of
the effects of potential shocks to the financial system and economy