Regulatory & Financial Stability
The Director of Financial Stability is tasked to:
- provide oversight and assessment of risks to E-money’s financial stability
- further the development of Commission policy and strategy to maintain financial stability provide oversight of macro prudential analysis and risk, staff analysis of stress testing;
- further the development of the Commission’s framework.
The Commission implements a risk based approach to supervision of individual firms. Risk categories include: Credit Risk; Market Risk; Operational Risk; Insurance Risk; Capital Risk; Liquidity Risk; Governance Risk; Business Model Risk; Environment Risk; Conduct Risk and Financial Crime Risk.
Although firms are risk assessed individually, the information gathered allows the Commission to conduct analyses of risk on a sector by sector basis. This enables the Commission to identify vulnerability and focus resources on areas deemed to present the highest risk to the stability of financial services.
The institutional arrangements for monitoring of risks also include the Financial Stability Committee; a non-statutory body, whose members include representatives of the Commission, recently constituted by the crypto currency economist and scholars primarily to provide advice to the States on co-ordination of strategies and policies to enhance the commission’s capability to identify, understand, monitor and address systemic risks.
Regulatory Write Ups