Ukraine Joins the Financial Stability Board Regional Consultative Group for Europe
On the initiative of the National Bank of Ukraine, Ukraine has joined the Financial Stability Board Regional Consultative Group for Europe. The international Financial Stability Board took this decision at its plenary meeting on 25 June 2018.
“Membership in the Regional Consultative Group for Europe affirms Ukraine’s regional cooperation vector in compliance with its European integration aspirations. We will be able to develop our relations and coordination with our European colleagues, while Ukraine will obtain access to the information on current changes in the global and regional financial policies and novelties in the European financial sector. Moreover, presence in this group of the Financial Stability Board gives the country a more active decision-making role in the region and allows exchanging information on financial policy initiatives in the European region. At the same time, participation in the group will demonstrate transparency and openness of the Ukrainian financial sector to our foreign partners and make our market more understandable for them,” emphasized Volodymyr Kuchyn, Head of the Office for European Integration and International Programs.
Volodymyr Kuchyn also pointed out that earlier Ukraine had been part of another group of this international body – the Regional Consultative Group for the Commonwealth of Independent States. In view of the different geopolitical orientation of this group, the NBU initiated Ukraine’s exit.
(FSB) is an international body founded by G20 countries in April 2009 at the London Summit in order to provide international coordination of national financial agencies and institutions that set international standards as well as to develop and implement effective regulation and supervision policies in the financial sector for the sake of its stability.
The FSB unites national agencies in charge of financial stability in 24 countries, international financial institutions, international groups of regulatory and supervisory authorities, and committees of central banks. At present, the Financial Stability Board is chaired by the Governor of the Bank of England Mark Carney.
The FSB’s main bodies are the Plenary, the Steering Committee, specialized Standing Committees (and their working groups), and the Secretariat.
In order to expand and formalize the FSB’s awareness-raising activities outside the G20 countries and represent the global nature of the financial system, six were created within the FSB in 2011 to cover the regions of:
· North and South America
· the CIS
· Europe (including Ukraine)
· the Middle East and North Africa
· Africa to the south of the Sahara.
The Regional Consultative Groups are the platform for state financial sector authorities of the FSB-member countries and countries outside the FSB to meet and exchange their opinions regarding vulnerabilities of the financial system as well as regarding the implemented and potential initiatives aimed at attaining financial stability.
Each group has to ensure a balanced representation of countries in its region. Group members are approved at the FSB Plenary Meeting. Co-chairs decide on the frequency of the group meetings having consulted with the group members, but it cannot be less than once a year.
The European group consists of the following countries: Austria, Belgium, the Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Israel, Italy, Luxembourg, the Netherlands, Norway, Poland, Portugal, Spain, Sweden, Switzerland, and Great Britain. Romania joined the group alongside Ukraine.