Annex 10.A Code of Good Practices on Transparency in Monetary and Financial Policies
The Code of Good Practices on Transparency in Monetary and Financial Policies (MFP Transparency Code) consists of a set of good transparency practices for central banks and monetary authorities (I—IV) and for financial agencies (V-VIII), which are outlined in this Annex.
1. Clarity of Roles, Responsibilities, and Objectives of Central Banks for Monetary Policy
1.1 
calls for the ultimate objectives and institutional framework to be clearly defined in law or regulation, including responsibilities, modalities of accountability, and procedures for appointments and overriding decisions.
1.2 deals with the institutional relationship between monetary policy and fiscal operations, including disclosure of advances to the government, bond market participation, and profit allocation.
1.3 deals with the agency roles performed by the central bank on behalf of the government, including debt and reserves management.
2. Open Process for Formulating and Reporting Monetary Policy Decisions
2.1 covers the framework, instruments, and targets used by the central bank and calls for explanation and disclosure of rules and procedures.
2.2 deals with the composition, structure, and functions of the policy-making body and calls for disclosure of meeting schedules.
2.3 calls for the timely explanation of changes in monetary policy settings with a preannounced maximum delay.
2.4 calls for periodic reporting on the macroeconomic situations and progress toward achieving objectives.
2.5 calls for public consultations over proposed changes in regulations.
2.6 calls for disclosure of regulations on data reporting by financial institutions.
3. Public Availability of Information on Monetary Policy
3.1 calls for adherence to IMF data dissemination standards.
3.2 calls for public disclosure of balance sheet information and aggregate market transactions on a frequent and pre-announced schedule. It also includes disclosure of detailed balance sheet information and aggregate information on emergency financial support.
3.3 calls for the maintenance of public information services, including an annual report.
3.4 calls for disclosure of texts of regulations.
4. Accountability and Assurances of Integrity by the Central Bank
4.1 calls for public appearances of officials to report on monetary policy conduct.
4.2 calls for disclosure of audited financial statements on a pre-announced schedule and disclosure of internal governance arrangements.
4.3 calls for annual disclosure of information on expenses and revenues.
4.4 calls for disclosure of standards of conduct for staff members (including conflict of interest rules) and legal protections.
5. Clarity of Roles, Responsibilities, and Objectives of Financial Agencies Responsible for Financial Policies
5.1 
calls for the objectives and institutional framework to be clearly defined in law or regulation and publicly disclosed and explained, including responsibilities, procedures for appointment, and modalities of accountability.
5.2 calls for disclosure of the institutional relationship between financial agencies.
5.3 calls for disclosure on the role of oversight agencies with respect to payment systems.
5.4 calls for disclosure of the relationship between financial agencies and self-regulatory agencies.
5.5 calls for similar transparency practices to govern the oversight of self-regulatory agencies.
6. Open Process for Formulating and Financial Policies
6.1 calls for disclosure of information on the regulatory framework, regulations, fees, and information-sharing arrangements for financial agencies.
6.2 calls for timely disclosure of significant changes in policies.
6.3 calls for periodic reporting on progress toward achieving objectives.
6.4 calls for a presumption of public consultations over proposed changes in regulations.
7. Public Availability of Information on Financial Policies
7.1 calls for periodic public reporting of major developments in the sector.
7.2 calls for public disclosure of aggregate data on a timely and regular basis.
7.3 calls for the disclosure of balance-sheet information of financial agencies, including emergency liquidity support.
7.4 calls for the maintenance of public information agencies, as well as periodic and annual reports.
7.5 calls for disclosure of the text of regulations.
7.6 calls for disclosure of information on guarantees, including their nature, funding, and performance.
7.7 calls for disclosure of oversight of consumer protection arrangements.
8. Accountability and Assurances of Integrity by Financial Agencies
8.1 calls for public appearances of officials to report on the conduct of financial policies and their objectives.
8.2 calls for disclosure of audited financial statements on a pre-announced schedule and for disclosure of internal governance arrangements.
8.3 calls for annual disclosure of information on expenses and revenues.
8.4 calls for disclosure of standards of conduct for staff members (including conflict of interest rules) and legal protections.
