CMF Announces Strategic Initiatives for 2020-2022
CMF has finalized its strategic plan for 2020-2022. The plan is to implement 32 initiatives in the areas of regulation, prudential and market conduct supervision, sanctioning procedures, and institutional development. The key initiatives in the plan involve the implementation of Basel III standards, a bill to strengthen the legal framework for bank resolution, and a definitive bill for fintech regulation in securities.
The strategic plan is intended to strengthen the regulatory and supervisory capacities of CMF to safeguard the solvency of institutions, propagate adequate market conduct and protection of financial customers, and address the challenges and opportunities resulting from technological breakthroughs in the financial markets. The following are the key highlights of the plan:
- Strengthening the solvency of financial institutions—The plan includes the development of nine initiatives that strengthen the regulations of CMF for the prudential supervision of solvency of banks, insurance companies, and financial intermediaries. These initiatives include implementation of Basel III standards for the banking system, design and presentation of a bank resolution bill, preparation of a bill proposal on financial conglomerates, and strengthening the regulatory framework for risk-based financial supervision in the insurance market. The plan also includes initiatives related to the generation of an integrated supervision policy and model, implementation of a macro-prudential risk management process, and development of a supervision scheme to support the implementation of Basel III standards.
- Safeguarding Market Conduct and Protecting Financial Customers—The plan provides for the development of nine initiatives that strengthen the regulations of CMF to promote proper market conduct and protect financial customers.
- Addressing Technological Challenges and Opportunities—The plan addresses opportunities and challenges of technological development in the financial system. The plan includes initiatives on a legal proposal to close gaps in capital markets in areas such as fintech and crowdfunding; implementation of an action plan to close gaps in the area of operational risks and cyber security; and the deployment of a data governance system.
Related Links (in Spanish)
Keywords: Americas, Chile, Banking, Basel, Strategic Plan, Fintech, Operational Risk, Governance, Cyber Risk, CMF
Previous Article
RBI Consults on Variation Margin Requirements for OTC DerivativesRelated Articles
EBA Proposes Guidelines for Establishing Intermediate Parent Entities
EBA issued a consultation paper on the guidelines on monitoring of the threshold and other procedural aspects of the establishment of intermediate EU parent undertakings, or IPUs, as laid down in the Capital Requirements Directive.
EC Adopts Financial Reporting Changes Arising from Benchmark Reforms
EC published Regulation 2021/25 that addresses amendments related to the financial reporting consequences of replacement of the existing interest rate benchmarks with alternative reference rates.
BIS Bulletin Examines Key Elements of Policy Response to Cyber Risk
BIS published a bulletin, or a note, that examines the cyber threat landscape in the context of the pandemic and discusses policies to reduce risks to financial stability.
HMT Updates List of Post-Brexit Equivalence Decisions in UK
HM Treasury, also known as HMT, has updated the table containing the list of the equivalence decisions that came into effect in UK at the end of the transition period of its withdrawal from EU.
EBA Issues Erratum for Technical Package on Reporting Framework 3.0
EBA published an erratum for technical package on phase 1 of the reporting framework 3.0.
APRA Publishes FAQ on Measurement of Credit Risk Weighted Assets
APRA updated a frequently asked question (FAQ), for authorized deposit-taking institutions, on the measurement of credit risk weighted assets.
EBA Publishes Risk Dashboard for Third Quarter of 2020
EBA published the quarterly risk dashboard, along with the results of the Risk Assessment Questionnaire survey among 60 banks and 15 market analysts.
ECB Analysis Shows Privacy as Biggest Concern in Use of Digital Euro
ECB concluded the public consultation on the introduction of a digital euro in EU.
ECB Analysis Shows Privacy as Biggest Concern in Use of Digital Euro
ECB concluded the public consultation on the introduction of a digital euro in EU.
ECB Finalizes Guide on Supervisory Approach to Bank Consolidation
ECB published a guide that sets out the supervisory approach to consolidation in the banking sector.