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Financial supervision mechanism

Student ID:MA3N0202

Name: Li-Wen Chang(Jenny)

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What’s the “Financial supervision

mechanism”

The Financial Supervisory Commission (FSC)

Case ─ The Bank of Lithuania

Conclusion

Reference material

Contents

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Financial regulation refers to the financial

authorities in accordance with the legal powers

conferred by law on financial institutions and

supervise the operations and management in

order to maintain normal financial order, the

protection of depositors and investors in the

interests of the financial system to protect the

safety, health, and efficient run.

What’s the “Financial supervision mechanism”

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The main contents of financial supervision

1. The market access regulation

Market access regulation is the central bank

for qualified institutions to enter the financial

markets , management of financial products ,

providing financial services to review and

approval process.

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The main contents of financial supervision

2. Operations supervision

The risk of financial institutions, is gradually

formed and accumulated in the course of

daily business operations.

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Business compliance. The purpose of this

regulation is to urge financial institutions to

strictly comply with banking laws and

regulations as well as the financial rules and

regulations established by the Central Bank to

maintain appropriate competition among

financial institutions, to maintain a healthy

financial order.

The main contents of financial supervision

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3.Market exit regulation

Financial institutions out of the market in

the form of the main dissolved, withdrawn

(closed) and bankruptcy three forms.

Rescue or take the more shock small exit

form

The strength of financial institutions

mergers and acquisitions.

The main contents of financial supervision

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THE FINANCIAL SUPERVISORY

COMMISSION (FSC)

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FSC was established on 1 July 2004

Supervision, regulation, and examination

Create a sound, fair, efficient, and

internationalized environment for financial

industry

Strengthen safeguards for consumers and

investors

Introduction

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Mission Statement

Maintaining

financial stability

Implement

financial reform

Assist industry

development

Strengthen consumer

and investor protection

and financial education

Establish a fair, healthy and profitable financial environment, to enhance the competitiveness of the financial sector

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The Council Organization Chart

Com

mitte

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eetin

gs

Financial Supervisory Commission

Chairman

Vice chairman Vice chairman

Chief Secretary

Ban

k B

oard

Secu

rities a

nd

Futu

res B

ure

au

Insu

rance

B

ure

au

Insp

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Bure

au

Inte

gra

ted P

lannin

g

Offi

ceIn

tern

atio

nal B

usin

ess

Departm

ent

Legal O

ffice

Info

rmatio

n

Serv

ices

Offi

ce o

f the S

ecre

tary

Perso

nnel

Offi

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Com

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om

Politica

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12http://www.lb.lt/financial_stability

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The role of the Bank of Lithuania is very important for the country’s economy and financial system. 

 Its principal objective is to maintain price stability.

The Bank of Lithuania

https://www.lb.lt/about

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Commercial banks, other credit , payment

institutions, securities and insurance

markets

 Investigates disputes between consumers

and financial institutions

The Supervision Service of the Bank of Lithuania

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Supervision of Credit Institutions

The goal of the supervision of credit institutions is to

monitor compliance of credit institutions with the

standards of safe

Analysis of the financial situation of credit institutions

Analyses the performance and trends of the banking

system

The Bank of Lithuania also periodically performs inspections

and examinations of credit institutions.

Supervision of Credit and Payment Institutions

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Supervision of Credit and Payment Institutions

Supervision of Payment Institutions

A payment institution is an economic entity

providing payment services

Off-site inspections of payment services

provided by payment institutions

Additional services closely related thereto

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Supervision of Electronic Money Institutions

The goal of the supervision of electronic money institutions----

Monitor whether electronic money institutions

and foreign electronic money institution branches

operating in Lithuania, having a license issued by

the Bank of Lithuania, are in compliance with the

requirements provided in the laws and the Bank

of Lithuania’s statutory requirements.

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Supervision of Insurance Market The purpose of supervision of insurers and insurance intermediaries---

Ensure reliability, efficiency, safety

and stability of the insurance system

Protection of the interests of the

policyholders

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Supervision of Insurance Market

Insurers and insurance intermediaries with

the requirements of the legal acts regulating

their activities and with the licensing conditions

Examines complaints concerning the activity

of insurance market participants

Provides methodological assistance to insurance

market participants.

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Conclusion

Unified financial supervision system

Establishment of a financial holding

company

Principle of functional management

A fair and reasonable financial environment

Government Financial Management

Financial business organizations

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http://www.fsc.gov.tw/ch/home.jsp?id=167&parentpath=0,1

http://www.zwbk.org/zh-tw/Lemma_Show/131774.aspx

https://www.lb.lt/about_the_supervisory_activities

http://www.zwbk.org/zh-tw/Lemma_Show/131774.aspx

http://www.lb.lt/about http://old.npf.org.tw/PUBLICATION/FM/090/F

M-R-090-059.htm

Reference material

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Thank you for listening

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