Regulatory Alerts2017-08-24
Financial Sector Regulation Act, 2017
Issued by the Presidency of South Africa, the Financial Sector Regulation Act, 2017 establishes a unified regulatory framework by creating the Prudential Authority and the Financial Sector Conduct Authority to supervise financial institutions and services. The Act mandates licensing for all financial product and service providers, grants regulators comprehensive powers to gather information, conduct on-site inspections, and impose administrative penalties, and requires the Reserve Bank to actively monitor and manage systemic financial risks. Additionally, it institutionalizes cross-agency coordination through the Financial Stability Oversight Committee and Financial System Council of Regulators, while establishing an independent Financial Services Tribunal and Ombud Council to adjudicate regulatory decisions and protect consumer rights.