FI Sets Out Work Priorities for 2021
The Swedish Financial Supervisory Authority FI set out the work priorities for 2021. The authority will prioritize, among others, climate risks, prevention of money laundering, future risks from COVID-19 pandemic, and consumer protection. During the year, FI will continue to measure the climate-related risks in the portfolios of financial firms. FI will also, based on the pending EU regulations, follow up on the work on sustainability and sustainability reporting. The authority intends for Swedish financial firms to be at the forefront of the application of the new requirements and to follow up on this in its supervision. Additionally, FI plans to participate in the work to develop global standards for sustainability reporting.
Overall, the prioritized work areas for the year can be broadly summarized as follows:
- Monitor the long-term impact of pandemic on the financial system and implement measures, as necessary, to reduce future risks
- Assess how the corporate bond market functions and how the funds that invest in corporate bonds can be better at managing their liquidity risks
- Follow how the firms conducting clearing operations for payments are addressing the outsourcing risks and how the firms maintain good internal governance and control of their operations
- Focus on consumer credit and ensure that lenders conducting thorough credit assessments
- Monitor closely whether the work by smaller banks and payment service firms is sufficiently methodical and structured to prevent money laundering
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Keywords: Europe, Sweden, Banking, Securities, COVID-19, Climate Change Risk, ESG, Credit Risk, AML, Corporate Bonds, Reporting, Outsourcing Risk, FI
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