A new agency will have daily oversight of financial services in the biggest shake-up of banking and finance in three decades. The change is part of a new banking law that aims to bolster regulation of the industry and reduce the risk of future banking crises.
"The Government has decided to move to a twin peaks regulation model. It will mean you have two regulators for the financial sector - a prudential regulator and a conduct-of-business regulator," said Mazen Boustany, head of banking and finance at Habib Al Mulla, the law firm advising the Ministry of Finance as sponsor of the law.
Responsibility for conduct of business will move from the Central Bank to a beefed-up Securities and Commodities Association, which will be renamed the Financial Services Authority.
No comments:
Post a Comment