Key areas for updating regulations
The National Bank has identified licensing, supervision, inspections, risk assessment, enforcement, reporting and auditing as priority areas for updating the regulatory framework. These updates will address the standardization and alignment of regulatory and supervisory approaches and procedures. In particular, we are talking about the following changes in each of the areas:
- Licensing – the creation of a single document that will determine the procedure for permitting procedures, setting requirements for non-bank financial institutions;
- Supervision – development of procedures for on-site supervision and inspections of non-banking financial institutions, namely – establishment of the procedure for on-site supervision, as well as scheduled and unscheduled inspections based on a risk-oriented approach;
- Measures of influence – introduction of a new procedure for applying measures of influence to non-bank financial institutions;
- Reporting – standardization of reporting requirements for non-banking financial institutions in order to update the form and frequency of reporting of each market segment of non-banking financial institutions depending on the risks of their activities;
- Audit and financial reporting . introduction of additional requirements to audit reports, which will be compiled based on the results of the audit of the activities of non-bank financial services providers.
In general, according to the updated plan, by the end of 2020 the National Bank plans to adopt at least 11 new regulatory acts to regulate activities in the markets of non-banking financial services.
Procedure for drafting regulations of the NBU
In carrying out regulatory activities, the National Bank is guided by the principles of transparency and partnership. Therefore, in order to create effective and modern regulation that would meet the needs of both market participants and consumers of financial services, the National Bank involves the business and expert community in the joint development of regulations.
To this end, draft regulations on non-banking financial institutions are published on the official website of the NBU in the section “Supervision”, subsection ” Regulation of the market of non -banking financial services (split) ” for review and discussion with market participants. Each draft regulatory act goes through a discussion phase over a period of at least one month.
The promulgation of the draft act at the stage of development and active interaction with financial institutions provides an opportunity to get acquainted with the vision of market participants before approving the final version of the regulatory act.
At the same time, the National Bank has created a separate mailbox [email protected] for more efficient and effective discussion of draft new regulations with market participants . At this e-mail address, market participants and experts can submit their proposals for draft regulations on the regulation of activities in the markets of non-banking financial services.
We remind you that before the entry into force of the relevant acts of the National Bank, the above issues will be regulated by acts of the National Commission for State Regulation of Financial Services Markets.