Financial System
Financial system regulation
Our strategic statement: develop and implement competitive, balanced, and stress-resistant regulatory frameworks that are in line with emerging markets, business models, and technologies.
Achieving this goal, we will maintain a stable, sound and reliable financial system by ensuring transparency and compliance in a consistent way through responsible governance.
As a result, we expect to have:
- a forward-looking regulatory framework in line with the recommendations of international standard-setting agencies (FSB, BIS, IOSCO, IOPS, IAIS, etc.) and international best practices based on the principle of "same activity, same risk, same regulation";
- a competitive regulatory and supervisory framework for crypto-asset service providers;
- effective bank resolution framework to maintain financial stability;
- transition to granular data-based reporting framework.
Definition of done: the CBA's regulations and mechanisms will be evaluated at certain time intervals by international organizations in accordance with international standards.
Payment system modernization
Our strategic statement: have in place a seamless and actively evolving digital payment system which is secure and inclusive.
Achieving this goal, we will meet the changing needs of consumers, businesses, and the Government.
As a result, we expect to have:
- forward-looking payment infrastructures operational in line with international standards;
- a comprehensive payment system policy, including in regards to digital currency and tokenization.
Definition of done: these systems will be evaluated periodically by international organizations or the Central Bank (BIS PFMI - Principles for Financial Market Infrastructures).
Financial system supervision
Our strategic statement: make sure that significant risks in the financial system, infrastructure and organizations are properly managed and, in the event of problems or crises, their impact is minimized.
Achieving this goal, we will have in place a more stable, reliable and transparent financial system.
As a result, we expect to have:
- a risk-based, forward-looking, state-of-the-art and exemplary supervisory system.
- a higher level of supervisory transparency and accountability;
- a more competitive and inclusive financial system that will provide consumers and investors with accessible, high-quality, safe, and innovative services.
Definition of done: improved quality of governance in financial system infrastructures and financial organizations, positive change in their perception of the supervision process, reduced reporting costs of financial system participants, increase in the level of consumer satisfaction with the financial system, improvement of external and internal evaluations related to the supervision process.
Consumer empowerment
Our strategic statement: we need to have an empowered consumer who significantly increases his/her well-being and reduces the cost of public spending on regulation and supervision.
Achieving this goal, we will have in place a demand for new quality financial services.
To achieve consumer empowerment outcomes, we will take a problem-centric approach while continuing to support and, where necessary, develop the ecosystem. This means that we will identify specific problems of vulnerable groups and propose appropriate solutions. Our approach is that everyone should have the opportunity and ability to participate responsibly in the financial system, access financial services and products, and contribute to personal financial well-being.
We will prioritize issues that have a significant impact on people's financial well-being. When developing solutions, we will emphasize that they are as data-driven, digital, and sustainable as possible. In the years ahead, such issues will include, for instance, debt management, access to digital financial services for people living in remote rural communities and people with disabilities.
In accordance with the financial education program, we will carry out financial capability survey to assess financial capabilities and will use the survey results to revise the financial education program accordingly.
As a result, we expect to have:
- an efficient consumer empowerment mechanism;
- financial inclusion of individuals, ensuring that individuals, and especially vulnerable groups in society, have access to basic financial products and services that meet their needs and that they use them responsibly and safely. Basic financial products and services are bank accounts, payments, savings, credit and insurance. Initially, we will emphasize the use of a bank account, out of basic financial services, as it serves a precondition for accessing other financial services and is a crucial tool for people to effectively plan and manage their daily finances
- individuals capable of using financial services competently, having in place and, if necessary, developing the key pillars for the consumer empowerment ecosystem (financial education, consumer protection regulation and supervision, and a system for consumer dispute resolution in the financial system);
- behavioral research tools and capabilities for impactful policies, regulations and interventions designed for consumer empowerment;
- mechanisms established for expressing consumer opinions and claims and evaluating financial services.
Definition of done: on an annual basis, we will have:
- an increased level of financial literacy: the level of financial capabilities index will reach the one envisaged by the financial education program;
- nearly 50000 young people who have just graduated from school will be able to confidently and responsibly access basic financial services and manage their daily finances;
- an increase in active users of bank accounts and apps.
Financial system sustainability
Our strategic statement: raise the level of awareness and transparency of financial market participants regarding the management and minimization of environmental, social and governance (ESG) risks, promoting the formation of a sustainable financial system and the effective management of ESG risks.
Achieving this goal, we will create a sustainable financial system to incorporate the ESG criteria into financial decision-making.
As a result, we expect to have:
- high level of awareness of financial market participants on ESG and climate risks;
- a determined spectrum of sustainable financial instruments, including green loans, bonds and other products, in the financial system;
- minimization of financial risks deriving from physical and transitional risks through the introduction of effective ESG and climate risk management and reduction principles;
- a sustainable financial system and steadier economic development.
Definition of done: raising awareness of financial market participants on ESG and climate risks, implementation of the priorities of the published roadmap, determining a spectrum of sustainable financial products, which leads to diversification of financial products and, thanks to all this, management and minimization of ESG and climate risks deriving from physical and transitional risks.