What the Bank for International Settlements does: BIS report guide

The Bank for International Settlements, or BIS, is an international financial institution owned by central banks. It serves as a forum for cooperation among them, a provider of banking services to central banks and international organizations, and a center for research and statistics on the global financial system. It is often called the central bank for central banks. It does not set interest rates for any country, does not lend to ordinary businesses or households, and is not a regulator in its own right, though it hosts committees that develop international standards. A BIS report, such as its annual economic report or a quarterly review, is a widely read source of analysis on central bank policy and global financial conditions.

In brief

• The BIS is owned by member central banks and monetary authorities and is based in Basel, Switzerland.
• Its work falls into policy cooperation, research and statistics, and banking services for central banks.
• It hosts committees whose members include central banks and supervisors, including the Basel Committee on Banking Supervision.
• Its publications inform policymakers and markets, but they do not bind any country.

Purpose and ownership

The BIS describes its mission as serving central banks in their pursuit of monetary and financial stability, fostering international cooperation, and acting as a bank for central banks. Its shareholders are central banks, and its membership has grown over time to include institutions from around the world. The bank’s own website lists current members, governance and financial statements, and readers should use it for up-to-date details such as the number of members and the composition of its board.

Because its owners are central banks and not governments or private investors, the BIS operates with a degree of independence from national politics, and it enjoys privileges and immunities under international agreements and its host-country arrangements. It is headquartered in Basel, with representative offices in other regions.

What the BIS does

A forum for central banks

Governors of major central banks meet regularly in Basel, usually every two months, to discuss economic and financial developments. These meetings, and the working groups that support them, give officials an informal setting for exchanging views away from public deadlines. Talks are not binding, and the BIS does not decide on behalf of its members.

Standard-setting committees

The BIS hosts secretariats for several international committees. The best known is the Basel Committee on Banking Supervision, which develops global standards for bank capital and liquidity, commonly called the Basel Accords or Basel III. Other committees address payments and market infrastructures, global financial system issues and markets. These bodies agree on standards; national authorities decide whether and how to implement them in law. The Financial Stability Board, a separate body, has its secretariat hosted at the BIS.

Research and statistics

The BIS has an economics department that publishes research on monetary policy, financial stability, banking, payments and innovation. It compiles international statistics, including data on cross-border bank claims, international debt securities, derivatives markets and global liquidity, which many analysts use as a reference. Its triennial survey of foreign exchange and over-the-counter derivatives markets is a standard source on the size and structure of those markets.

Banking services

The BIS accepts deposits from central banks and international institutions, helps manage foreign currency reserves, and carries out financial transactions on their behalf. These services are provided to central banks and similar institutions only. Its financial statements are published in its annual report.

Innovation work

Through its Innovation Hub, the BIS studies new technologies relevant to central banking, such as payments systems, central bank digital currencies and the use of data. Projects are typically run with participating central banks and published as reports or prototypes.

Key publications

• Annual Economic Report. A yearly assessment of the global economy and financial system, released around the time of its annual general meeting, often with a focus chapter on a policy theme.
• BIS Quarterly Review. Market analysis and special features, published several times a year.
• BIS Working Papers and Bulletins. Shorter research notes on specific topics.
• Speeches and press releases. Remarks by the General Manager and others, which cover central bank policy and financial conditions, alongside announcements on committees and projects.
• Statistics and data portal. Datasets covering banking, debt, payments, exchange rates and property prices.

Readers who follow Bank of England rates, ECB policy and Fed speeches will often see the BIS cited for cross-country comparisons, because it compiles data on a consistent basis.

Governance and accountability

The BIS is governed by a board of directors made up of central bank governors, and its General Manager runs day-to-day operations. Member central banks meet at an annual general meeting, where the annual report and accounts are presented. The bank publishes audited financial statements, and its committees publish consultation documents so that outside parties can comment on proposals before standards are finalized. Because it works by convening and analysis, its influence rests on the quality of its research and the credibility of its members and not on any power to compel.

How it relates to other international bodies

The BIS is sometimes confused with institutions that have different roles.

Institution	Main role
BIS	Cooperation and banking services for central banks; research; hosts standard-setting committees
International Monetary Fund	Surveillance of member economies, financial assistance to countries, and policy advice
World Bank	Development financing for member countries
Financial Stability Board	Coordinates financial regulators and recommends standards; hosted by the BIS

The BIS does not provide balance-of-payments support to countries and does not impose conditions. The IMF handles those functions.

A worked illustration

Consider how a banking standard moves from idea to practice. Supervisors from member jurisdictions meet within the Basel Committee to discuss weaknesses revealed by a period of stress. The committee consults publicly on proposed changes, reviews responses and publishes a final standard with an agreed implementation timetable. Each country then adopts the rules through its own legislation and regulation. In the United States that means federal banking agencies issue rules; in the European Union it means legislation and delegated acts; in the United Kingdom, the Bank of England’s Prudential Regulation Authority and Parliament play their roles. The BIS hosts the process; it does not enforce the outcome.

The case is a general description of the path, not of a specific standard.

Why the BIS matters to markets

Market participants read BIS work for three reasons. First, its statistics are among the few that cover global banking and derivatives markets across borders. Second, its research frequently puts forward views about risks, such as high debt, shifts in financial intermediation or the stability of payment systems. Third, BIS meetings and committees are where many international standards originate, and their direction signals what national rules may follow.

At the same time, BIS views are its own analysis, they may differ from the policy stance of any member bank, and they should be read as one input among many.

Common misconceptions

“The BIS is a world central bank.” It does not issue currency or set global interest rates. Each central bank sets its own policy.

“The BIS regulates banks.” It hosts committees that agree on standards. Enforcement is national.

“Anyone can bank with the BIS.” Its banking services are for central banks, monetary authorities and international organizations.

“BIS reports represent the position of the Fed, the ECB or the Bank of England.” They represent the BIS’s own analysis. Central banks publish their policy views through their own channels.

FAQ

Where is the BIS located?

Its headquarters are in Basel, Switzerland, with offices in other regions listed on its website.

Who runs the BIS?

A board of directors drawn from member central banks oversees the bank, and a General Manager leads management. Details are on the BIS governance pages.

What is the Basel Committee?

A committee hosted at the BIS that sets global standards for bank regulation, including capital and liquidity requirements. Countries implement them through their own laws.

Is the BIS part of the United Nations?

No. It is an independent international financial institution owned by central banks, and it predates the UN system.

Where can I find a BIS report?

On bis.org, which provides the Annual Economic Report, the Quarterly Review, working papers and statistics free of charge.