Inquiry to examine Swedish financial regulatory framework

Date 18/06/2010

A commission of inquiry should examine the Swedish financial regulatory framework in line with a proposal made by the Riksbank that the framework needs to be reviewed following the financial crisis. This was decided by the Riksdag, the Swedish parliament, on 15 June. However, the proposal to review the Sveriges Riksbank Act was rejected, as the Riksdag wishes to await the results of the inquiry.

 

The inquiry should be aimed at designing an effective and sustainable regulatory framework for the financial system in Sweden on the basis of the lessons learnt and experience gained during the financial crisis. The inquiry should include, for instance, the division of roles between public authorities, provisions for financial supervision that can be taken at an early stage, the activation of the deposit guarantee, the Riksbank’s tools in the field of financial stability and the management of financial undertakings in distress.

 

“It is important to have a coherent and effective framework in order to be able to prevent crises in the future, but also to limit the costs of a crisis to bank customers and society at large as much as possible," say the Chairman of the General Council, Johan Gernandt, and the Governor of the Riksbank, Stefan Ingves, in a joint statement.