Long-term supervisory strategy of the Czech National Bank
The Czech National Bank (CNB) has long worked to maintain a high degree of transparency in the area of financial market supervision. In line with this objective, the CNB in April 2017 published a new Long-term supervisory strategy (pdf, 508 kB) updating the previous 2015 strategy, whose original propositions remain unchanged in this new version.
The strategy sets out the main principles of supervision, outlines the organisation of supervisory work and explains the CNB’s approach to the supervision of each sector of the financial market. By making its supervisory strategy available to supervised entities and other professionals, the CNB helps to clarify the principles underlying its actions in this area with the aim of giving financial market participants the necessary degree of certainty about its plans and actions in the long term.
This updated strategy takes into account organisational changes in the supervisory area, most notably the establishment of the new Financial Market Supervision Department II. The strategy includes the new consumer credit provision supervisory duties entrusted to the CNB in 2016.
Greater attention is paid to the supervisory review and evaluation process (SREP), which involves comprehensive assessment of the riskiness and viability of supervised institutions by supervisors.