What is BCBS

Big data has become a key topic in data creation, storage, retrieval, methodology, and analysis in the financial stability area. The flexibility and real-time availability of big data have opened up the possibility of extracting more timely economic signals, applying new statistical methodologies, enhancing economic forecasts and financial stability assessments, and obtaining rapid feedback on policy impacts. But, while public financial authorities appear increasingly interested in big data, their actual use has remained limited, reflecting a number of operational challenges. Moreover, using big data for policy purposes is not without risks, such as that of generating a false sense of certainty and precision. Exploring big data is thus a complex, multifaceted task, and a general and regular production of big data-based information would take time. Looking ahead, it is key to focus on concrete pilot projects and share these experiences. International cooperation would certainly add value in this endeavor.