Featured Product

    SARB Consults on Data and Reporting Requisites for Deposit Insurance

    February 18, 2021

    SARB published a discussion paper on data definition and the reporting requirements for deposit insurance in South Africa. The paper describes the data requirements and operational proposals for the Corporation for Deposit Insurance (CoDI), which will be established in terms of the Financial Sector Laws Amendment Bill. The proposals take into account country-specific characteristics and applicable international standards. The comment period on the discussion paper ends on April 16, 2021. Once the Financial Sector Laws Amendment Bill is promulgated and CoDI is established, all registered banks will automatically become members of CoDI.

    The discussion paper provides details about the data fields required by CoDI, sources for master and reference data, and the associated data formats. It also presents details on the data quality and assurance process of CoDI, governance requirements, and the channels available to banks for data submission. The paper details the need and mandate for CoDI to collect depositor personal information in support of its payout strategy and the focus of CoDI on complying with all relevant privacy legislation. Two reporting options are then proposed for monthly submission of data by banks to CoDI: single customer view (SCV) (depositor-based) and non-SCV (account-based). The reporting is segmented by the type of account (simple, formal beneficiary, or informal beneficiary) and supported with the file structures underpinning each account type. The paper also provide a detailed overview of data requirements of CoDI, documented through data glossary, subject area, conceptual, and logical data models of CoDI. 

    Granular detail on reference and master data is provided to support understanding of the preferred data sources of CoDI and inform categorization of deposit insurance data. The paper proposes the use of comma-separated values and extensible markup language as the preferred data formats of CoDI, with data to be submitted through an enterprise service bus, secure file transfer, or a web portal. Furthermore, emphasis is placed on the extension of the BCBS principles for effective risk data aggregation and reporting to depositor data. To this end, CoDI will publish a data governance manual, which will provide more detail on its governance requirements, after receiving feedback from banks on the suitability of BCBS 239 and further bilateral engagements. CoDI also plans to publish a systems assessment guideline and a data privacy survey. All banks will be required to perform the assessment and complete the survey. Banks will be expected to provide a report on the outcome of assessment and a plan for getting their systems ready for reporting to CoDI. The paper highlights that further engagements between CoDI and all banks will take place from May 2021 to November 2021. 

    The Financial Sector Laws Amendment Bill, or FSLAB, contains the high-level enabling framework for the establishment of CoDI. A series of discussion documents from SARB on the key aspects are expected to facilitate the operationalization of CoDI. These discussion documents will be converted to secondary legislation after the promulgation of the Bill. SARB published the first two papers in the series last year: one is on coverage and reporting rules for deposit insurance while the other one is on deposit insurance funding model and the implications for banks. The current paper is the third paper in this series. Additionally, the CoDI payout paper is due to be published in the third quarter of 2021 and the final planned CoDI public awareness paper is due to be published in the first quarter of 2022.

     

    Related Links

    Keywords: Middle East and Africa, Banking, Deposit Insurance, Corporation for Deposit Insurance, Reporting, Governance, Basel, BCBS 239, SARB

    Featured Experts
    Related Articles
    News

    EU Agencies Update LCR Rule and Macro-Prudential Policy Recommendation

    The European Commission (EC) published the Delegated Regulation 2022/786 with regard to the liquidity coverage requirements for credit institutions under the Capital Requirements Regulation (CRR).

    May 23, 2022 WebPage Regulatory News
    News

    EBA Publishes Regulatory Standards to Identify Shadow Banking Entities

    The European Banking Authority (EBA) published the final draft regulatory technical standards specifying the criteria to identify shadow banking entities for the purposes of reporting large exposures.

    May 23, 2022 WebPage Regulatory News
    News

    OSFI Discusses Benchmark Rate Transition, Sets Out Work Priorities

    The Office of the Superintendent of Financial Institutions (OSFI) published the strategic plan for 2022-2025 and the departmental plan for 2022-23.

    May 17, 2022 WebPage Regulatory News
    News

    EBA Proposes Standards to Support Secondary NPL Markets

    The European Banking Authority (EBA) is consulting, until August 31, 2022, on the draft implementing technical standards specifying requirements for the information that sellers of non-performing loans (NPLs) shall provide to prospective buyers.

    May 17, 2022 WebPage Regulatory News
    News

    EU Confirms Agreement on Rules on Cybersecurity and Banking Resolution

    The European Council and the Parliament reached an agreement on the revised Directive on security of network and information systems (NIS2 Directive).

    May 13, 2022 WebPage Regulatory News
    News

    EBA Issues Standards for Crowdfunding Service Providers Under ECSPR

    The European Banking Authority (EBA) published the final draft regulatory technical standards specifying information that crowdfunding service providers shall provide to investors on the calculation of credit scores and prices of crowdfunding offers.

    May 13, 2022 WebPage Regulatory News
    News

    EU to Amend Credit Risk Adjustment Rules; ESAs Submit Queries on SFDR

    The European Council published a draft Commission Delegated Regulation to amend the regulatory technical standards on specification of the calculation of specific and general credit risk adjustments.

    May 13, 2022 WebPage Regulatory News
    News

    EU Confirms Agreement on Rules on Cybersecurity and Banking Resolution

    The European Securities and Markets Authority (ESMA) published a paper that examines the systemic risk posed by increasing use of cloud services, along with the potential policy options to mitigate this risk.

    May 12, 2022 WebPage Regulatory News
    News

    MAS Amends Notice 635 and Issues Second Proposal on Green Taxonomy

    The Monetary Authority of Singapore (MAS) published amendments to Notice 635, which sets out requirements that a bank in Singapore has to comply with when granting an unsecured non-card credit facility to individuals.

    May 12, 2022 WebPage Regulatory News
    News

    EC Consults on PSD2 and Open Finance; EU Reaches Agreement on DORA

    The European Commission (EC) published a public consultation on the review of revised payment services directive (PSD2) and open finance.

    May 11, 2022 WebPage Regulatory News
    RESULTS 1 - 10 OF 8201