The global financial regulatory system aims to keep the world's financial system stable. It has two main parts: macro-prudential regulation overseen by the Financial Stability Board, and micro-prudential regulation monitored by various international bodies and national regulators. These regulations are not legally binding but are seen as important for efficiency. Countries follow these standards closely to protect against financial crises and show their strength. The rules for regulating financial systems are always changing to keep up with the global financial landscape.