IFCs Act As Regulatory Capacity Builders

Popular discussions of financial regulation often presuppose a binary regulatory framework between strict (good) jurisdictions and lax (bad) jurisdictions. IFC critics argue that IFCs are lax jurisdictions. This view is overly simplistic as it fails to account for differences among IFCs. As a result, it misses the effectiveness and efficiency of IFC regulatory frameworks. A more textured understanding reveals the important contributions IFCs make to strengthening global financial regulation.

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