International cooperation is important to ensure relevant and effective supervision of an ever more integrated financial sector. Common principles and rules for the financial industry and financial supervision are prepared by international bodies. Finanstilsynet cooperates closely with the financial supervisory authorities in the EEA on supervision and regulatory development and also participates in global supervisory activity.
Finanstilsynet is involved in international cooperation in the securities market, the banking and financial sectors, the insurance and pension sector and within accounting and auditing.
Supervisory cooperation in the EU/EEA
Supervisory cooperation with the EU/EEA is of particular importance to Norway. There are two reasons for this:
- EU legislation in the financial area will normally become Norwegian legislation. Finanstilsynet has the opportunity to participate at an early stage when EU legislation is prepared and can thus contribute to making the legislation relevant to Norway.
- Financial institutions in the EEA have extensive cross-border operations. Good coordination between national supervisory authorities is therefore of key importance, both with individual financial institutions and the financial market in general.
Supervisory cooperation with the UK
Norway has, together with the other EEA EFTA states Iceland and Liechtenstein, entered into a trade agreement with the UK. The provision of cross-border services between Norway and the UK is now regulated by national third-country regimes.
Finanstilsynet has entered into supervisory cooperation agreements with UK authorities.
Nordic supervisory cooperation
Finanstilsynet is strongly committed to ensuring good cooperation with the supervisory authorities in the other Nordic countries.
In addition to meetings with the other Nordic supervisory authorities through the EEA cooperation, there are annual Nordic meetings at senior management and department level for the various sectors and at the administrative level. Finanstilsynet participates in meetings with Nordic colleagues aimed at cooperating on the supervision of Nordic financial services group, and the Nordic supervisory authorities carry out joint supervision of Nordic groups.
Finanstilsynet also has regular meetings with the authorities supervising auditors in the Nordic countries.
- Other international/global supervisory cooperation
Finanstilsynet is a member of the International Organization of Securities Commissions (IOSCO), which has adopted a number of resolutions that have been endorsed by Finanstilsynet. Finanstilsynet is also a member of the European Regional Committee constituted by IOSCO, which has meetings twice a year.
IOSCO has prepared a Multilateral Memorandum of Understanding – MMoU concerning cross-border cooperation and exchange of information signed by Finanstilsynet (then Kredittilsynet) in 2006.
Finanstilsynet is also a member of the Enlarged Contact Group for Supervisors of Collective Investment Funds (ECG), which meets once a year. The Enlarged Contact Group is a global forum for supervisors of mutual funds. The main objective of the group is to exchange experiences and information about the supervision of mutual funds.
Finanstilsynet is a member of the International Association of Insurance Supervisors (IAIS) and is involved in the development of international principles for supervision of insurance activities. Finanstilsynet attends the annual meeting of the IAIS and is represented on the committee that has overall responsibility for standard setting.
Banks and financial institutions
Within banking supervision, no equivalent global member organisation has been established as in the securities and insurance supervision areas. The Basel Committee on Banking Supervision (BCBS) under the Bank for International Settlements is the global standard setter and has members from 28 countries. Norway is not a member.
The Committee’s mandate is to prepare international standards for banking supervision and coordinate global cooperation. Finanstilsynet keeps up with the work of the Basel Committee, among others by being represented on the Basel Consultative Group.
The Financial Stability Board has established the Regional Consultative Group for Europe. Members are finance ministries, central banks and financial supervisory authorities from a number of European countries, including Norway.
The International Forum of Independent Audit Regulators (IFIAR) is the global body for audit oversight and has members from 53 countries. IFIAR’s mandate is to be a forum for contact between audit regulators in various countries, and to contribute to knowledge sharing about the industry and practical regulatory and supervisory activity. Finanstilsynet is a member of IFIAR.
Measures against money laundering and the financing of terrorism
Finanstilsynet is involved in the international coordination of anti-money laundering and counter terrorist financing measures. Finanstilsynet is represented at the meetings of the Financial Action Task Force (FATF), which develops joint international recommendations for anti-money laundering and counter terrorist financing measures.
Finanstilsynet is also involved in the EEA’s work to combat money laundering and terrorist financing under the three European supervisory authorities (ESAs).
- EBA: Anti-Money Laundering and Countering the Financing of Terrorism
- Joint Committee for EBA, ESMA and EIOPA
As part of the work on ICT security, Finanstilsynet participates in, among others, the global supervisory cooperation Information Technology Supervision Group (ITSG). In addition, Finanstilsynet is actively involved in cooperative efforts at European level, some of which are organised by the ESAs.