Home / Front Page/ Financial sector regulators sign MoU for consolidated risk-based supervision

Financial sector regulators sign MoU for consolidated risk-based supervision

Comments / {{hitsCtrl.values.hits}} Views / Saturday, 5 January 2019 00:00


Central Bank Deputy Governor H. A. Karunaratne, IRCSL Director General Damayanthi Fernando, and SEC Director General Vajira Wijegunawardene signing the MoU while Central Bank Governor Indrajit Coomaraswamy looks on    


The Central Bank has entered into a memorandum of understanding (MoU) with the Securities and Exchange Commission of Sri Lanka (SEC) and the Insurance Regulatory Commission of Sri Lanka (IRCSL) to conduct effective consolidated risk-based supervision.

The agreement was signed on 31 December, and the Central Bank will be the lead supervisor in this regard, the Central Bank said in a statement yesterday. 

Consolidated supervision is an essential tool for supervising financial groups. It involves assessment of group-wide risks that may emanate from relationships among members of a corporate group operating across different financial sub-sectors. Group-wide consolidated supervision of such institutions is necessary in order to evaluate and assess contagion and reputation risks posed by such entities to the financial system and to contain systemic risk. 

In the presence of Central Bank Governor Dr. Indrajit Coomaraswamy, representatives of the three regulators, Central Bank Deputy Governor H. A. Karunaratne, SEC Director General Vajira Wijegunawardane, and IRCSL Director General Damayanthi Fernando, signed the MoU on consolidated risk-based supervision on behalf of the respective institutions.

Share This Article

Facebook Twitter


1. All comments will be moderated by the Daily FT Web Editor.

2. Comments that are abusive, obscene, incendiary, defamatory or irrelevant will not be published.

3. We may remove hyperlinks within comments.

4. Kindly use a genuine email ID and provide your name.

5. Spamming the comments section under different user names may result in being blacklisted.


Today's Columnists

Implementing SC Orders

Wednesday, 26 June 2019

The Supreme Court on 18 April has ordered six Ministries, their Secretaries and three Government authorities to take immediate several effective measures to be enforced in the design and construction of all parts of new buildings and services the pub

Need for an education revolution: Future of our kids and the nation is at risk – Part I

Wednesday, 26 June 2019

It is said that a country is only good as her people. A country belongs to her people. In a democratic country, people elect the leaders to manage the country on their behalf. Hence, to be hailed as a progressive country, it is paramount for a countr

Universalism versus tribalism

Wednesday, 26 June 2019

The most venerable Warakagoda Sri Gnanarathana Thero Mahanayake of the Asgiriya chapter has announced that his recent remarks, have been misconstrued and distorted. The authenticity of recorded information in cyber space is an inconvenient truth of t

A sermon on stoning

Tuesday, 25 June 2019

It is generally assumed we have passed the Stone Age, the Bronze Age, the Iron Age, the Industrial Age, and the Space Age.After a breath-taking dive in to the Digital Age, we are well on our way to the Age of Automation and Artificial Intelligence. N

Columnists More