FCA published a report that details the work undertaken by the Global Financial Innovation Network (GFiN ) in its first year, the challenges it has faced, and the plans it has for future. GFiN is a network of international regulators and related organizations that are committed to supporting financial innovation and to creating a framework for co-operation between regulators to share experiences and approaches to innovation.
As of June 2019, GFiN has 35 financial services regulators with full membership and seven observers. Its goal is not to create harmonized regulatory standards across jurisdictions but to provide a space for regulators to discuss, interact, and give innovative firms an avenue to test across borders. Over the next year, GFiN intends to focus on formalizing its approach for cross-border testing based on lessons learned from the pilot program. GFiN is also working in the regtech work stream to create cross-jurisdictional tests and proofs of concept regarding supervisory technologies or technologies that facilitate compliance for regulated firms. It is expected that GFiN regulators and stakeholders can learn from these trials and be in a position to implement the utilized technology. A key part of the GFiN 's work over the next year will also be to focus on how it can support emerging markets to help define, shape, and develop their respective regulatory markets approaches to innovation. GFiN will continue to encourage regulators in these markets to join GFiN to benefit from information-sharing and collaborative working environment.
Keywords: International, Europe, UK, Banking, Insurance, Securities, Regtech, Suptech, Fintech, GFiN, Cross-Border Testing, FCA
Previous ArticleIASB Amends IFRS 9 and IFRS 7 in Response to IBOR Reform
PRA published the policy statement PS8/21, which contains the final supervisory statement SS3/21 on the PRA approach to supervision of the new and growing non-systemic banks in UK.
EBA published a report that sets out the final draft regulatory technical standards specifying the conditions according to which consolidation shall be carried out in line with Article 18 of the Capital Requirements Regulation (CRR).
EBA updated the list of other systemically important institutions (O-SIIs) in EU.
BCBS published two reports that discuss transmission channels of climate-related risks to the banking system and the measurement methodologies of climate-related financial risks.
UK Authorities (FCA and PRA) welcomed the findings of FSB peer review on the implementation of financial sector remuneration reforms in the UK.
PRA and FCA jointly issued a letter that highlights risks associated with the increasing volumes of deposits that are placed with banks and building societies via deposit aggregators and how to mitigate these risks.
MFSA announced that amendments to the Banking Act, Subsidiary Legislation, and Banking Rules will be issued in the coming months, to transpose the Capital Requirements Directive (CRD5) into the national regulatory framework.
EC finalized the Delegated Regulation 2021/598 that supplements the Capital Requirements Regulation (CRR or 575/2013) and lays out the regulatory technical standards for assigning risk-weights to specialized lending exposures.
OSFI launched a consultation to explore ways to enhance the OSFI assurance over capital, leverage, and liquidity returns for banks and insurers, given the increasing complexity arising from the evolving regulatory reporting framework due to IFRS 17 (Insurance Contracts) standard and Basel III reforms.
ECB published results of the benchmarking analysis of the recovery plan cycle for 2019.