Operational Issues in Consolidated, Cross-border, and Risk-based Supervision
This initiative is part of our efforts to support capacity development in the area of banking supervision. We support countries’ efforts to align with international standards and guidelines in prudential regulation and supervision.
Due to the internationalization of banks operations the supervisors need to take into account the total activities abroad and to successfully examine their soundness. The consolidation of the banking supervision should not only incorporate banks’ foreign branches, but also those of banks’ wholly-owned and majority-owned foreign subsidiaries. Foreign subsidiaries, participations, and joint ventures are to be observed. Those are independent from their banks and are subject to another legal environment.
Risk-based supervision has become a very important aspect in the supervision of banks. We can now also closely examine lessons learned since the establishment of the Single Supervisory Mechanism and its risk-based approach, aiming at assessing risks and risk management processes at credit institutions. This implies a comprehensive program of continuous analysis of the key risks at all credit institutions through on-going supervision and on-site inspections. In the workshop we will discuss in-depth investigations of risks, risk controls and governance, with a pre-defined scope and time frame at the premises of a credit institution.
Within the scope of risk-based supervision, the authorities are focusing aspects such as evaluating banks’ own credit risk management, stress testing and risk-based internal audit, home-host cooperation. Supervisory processes are to be reviews in order to function effectively. To evaluate the requirements imposed to banks and improving their governance and risk-management, the supervisors themselves need a framework for assessment.
What will you learn?
Topics to be discussed at the workshop:
- Scope of the SSM and Banking Union
- Work in supervisory colleges on the case of SSM Joint Supervisory Teams
- Organizational aspects and framework for performance of on-site inspections
- CRD IV
- Consolidated supervision of banks’ activities
- Supervisory approach and assessment of internal capital and liquidity adequacy assessment processes
Who should attend?
The seminar is designed for employees from banking regulation and supervision departments from central banks and financial supervisory authorities. Participants are encouraged to actively intervene in the discussion, raising practical questions and offering insight of relevance to their country cases.
Tomaž Rotovnik, Bank of Slovenia
Tomaž has been working on systemic supervision and regulation at the Bank of Slovenia since 2002. As a policy-maker, he covers many areas: corporate governance, risk management, SREP-ICAAP and other Pillar 2 issues, and operational risk. He is a regular speaker at various events of the Bank Association of Slovenia and other international seminars/workshops.
Tomaž is a member of several European Banking Authority’s working groups, including Internal Governance and Remuneration, Supervisory Disclosure. In the past he has cooperated with the USAID and EBRD on different regulatory consulting projects.
Matej Krumberger, Bank of Slovenia
Matej Krumberger is Director of Banking Supervision Department at the Bank of Slovenia. He has been working for Bank of Slovenia for 25 years, all time working on supervisory issues. Since 2009, he is Director of Banking Supervision Department. During his long lasting banking supervision career, he participated in many international supervision bodies, starting as Slovenian member of Groupe the Contact in 2004. Currently he has been Alternate member to the Slovenian Member of the Supervisory Board - ECB Single Supervisory Mechanism (SSM).
Simon Jazbec, Bank of Slovenia
Simon is a consultant analyst in the Systemic supervision and regulation department at the Bank of Slovenia. His main areas of interest are stress testing (hybrid bottom-up approach), the development of banks' business model analysis framework, as well as modeling and evaluating other specific risks (credit risk, IRRBB, etc.). Prior to working in the Supervision sector, he worked in the Financial stability department at the Bank of Slovenia with the focus on top-down stress testing and the development of tools for financial stability. Simon holds a degree and PhD in Physics and has experience also in the field of IT and academia.
Marko Bračković, Bank of Slovenia
Marko is a consultant analyst in the Systemic supervision and regulation department at Banka Slovenije. His main areas of interest are stress testing (hybrid bottom-up approach) as well as monitoring non-performing exposures. Prior to working in the Supervision Directorate, he worked at NLB Vita and NLB as a risk analyst specialising in market and credit risks. He holds a Masters degree in Economics and Financial Economics.
Katja Ciglar, Bank of Slovenia
Katja Ciglar is a supervisor of financial risks and internal models at the Bank of Slovenia. Apart from on-site supervision her tasks consist of performing analyses of financial risks in the Slovenian banking system and participating in the SREP. She worked for several years as a risk analyst of the liquidity and interest rate risk at a commercial bank where she also gained experience in financial modeling.
This learning initiative is supported by: