First deputy managing director of the IMF John Lipsky:
“Basel III is microprudential”, said Lipsky, and there’s very much still a need for big-picture cooperation between countries when international financial institutions get into trouble. That said, he was at pains to say that he didn’t want the job: “we’re not supervisors, we’re not regulators, and we do not aspire to be either. We can provide perspective to the standard setters. This will be an agreement among sovereigns.”
At this year's ISA meetings I attended a panel that discussed what sort of new international financial regulatory architecture should emerge from the crisis. The only concrete suggestion (made by Benjamin Cohen) was for the IMF to play a much greater role, the hold-up being that national governments didn't want them to. Well that's true, but as it turns out the IMF doesn't want to either. This is not what the IMF is for, it's not what they're good at, and they recognize that.