The Financial Sector Conduct Authority (FSCA) has published the conduct standard for banks along with a document detailing the expected impact of the conduct standard, and a report on the consultation process.
The publication of these documents is the first step towards rolling out a comprehensive market conduct regulatory framework for the banking sector.
When the Financial Sector Regulation Act (FSRA) was introduced in 2018, the FSCA was given the explicit mandate of regulating and supervising the way banking institutions conduct themselves in relation to the provision of financial products and services to customers. As part of fulfilling this mandate, and considering various risks identified in the sector, the FSCA developed the conduct standard which enables it to supervise banks. The conduct standard underwent a comprehensive public consultation process, coupled with industry specific engagements. It was also submitted to Parliament as required in terms of section 103 of the FSRA.
Having successfully undergone the parliamentary process, the conduct standard has been made final and is now available on the FSCA’s website at www.fsca.co.za
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