The need for stronger surveillance and better foresight in financial governance was made clear during the global financial crisis. In 2009, the Group of Twenty sought to bolster these by initiating the semi-annual early warning exercise (EWE). Two international institutions — the International Monetary Fund and the Financial Stability Board — were tasked with conducting the EWE. The EWE is a critical mechanism for identifying systemic risks and vulnerabilities; however, several problems constrain its effectiveness. The exercises suffer from unclear goals, a lack of coordination, geographical separation, insufficient organizational capacity and ad hoc procedures. This policy brief offers recommendations that would help improve the effectiveness of the EWE.

Part of Series

The CIGI-BSIA Policy Brief Series presents the research findings of leading BSIA scholars, developing information and analysis, including recommendations, on policy-oriented topics that address CIGI’s four core research areas: the global economy; the environment and energy; global development; and global security.
  • CIGI Senior Fellow Bessma Momani has a Ph.D. in political science with a focus on international political economy and is full professor and interim assistant vice‑president of international relations at the University of Waterloo.

  • Warren Clarke is a Toronto-based writer and researcher. In 2016, he was a Social Sciences and Humanities Research Council post-doctoral fellow in the Department of Political Science at McMaster University, where his research focused on understanding the emergence and implications of sovereign patent funds in France, South Korea and Japan. Warren holds a Ph.D. from the Balsillie School of International Affairs at Wilfrid Laurier University and currently works in the professional services industry. 

  • Michael Cockburn is a student in the Wilfrid Laurier University master’s program in international public policy based at the BSIA. He is also a CIGI junior fellow.

  • Dustyn Lanz is a political economist and author interested in global governance, green economy and sustainable investment. Dustyn is a former Balsillie Fellow with CIGI. He holds an M.A. in global governance from the BSIA, University of Waterloo.