Intra- and Inter-Agency Coordination

Número de respuestas: 16

DFS regulation and supervision typically involve multiple teams within a supervisory authority and across agencies. For example, payment systems, banking supervision and financial inclusion teams in a central bank may all oversee DFS providers, alongside a separate market conduct regulator and a competition authority. 

The high confluence of actors with different mandates, objectives, and interests underscores the need for effective coordination mechanisms. 

In this next video, we explore intra- and inter-agency coordination for risk-based supervision. 

 

 

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Click to view the transcript.

As you have seen in this video, DFS supervisors do not operate in a vacuum. Their supervisory activities need to cover complex and shifting landscapes that require collaboration and cooperation with various and sometimes unexpected parties. 

Because technology is moving so quickly and providers continue to innovate, supervisors will continue to need to connect with other authorities to stay ahead of these changes and ensure appropriate supervision of financial activities to protect vulnerable customers and encourage inclusive DFS. 

Additional Reading 

If you would like to learn more about coordination within and across agencies, then please consult the following readings:

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Re: Intra- and Inter-Agency Coordination

de Erah, Dominic Ose Erah - Group 1
Nice lecture on the need for collaboration within and outside agencies responsible for carrying out regulatory functions over financial institutions. In my country (Nigeria) there exit a serious collaboration within the Central Bank (Banking Supervision, Consumer Protection, IT, Payment System, etc ) and other agencies (NDIC, SEC, etc) in the area of supervision of banks
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Re: Intra- and Inter-Agency Coordination

de LEILAH ABDALAH MUBEYA - Group 6
Collaboration plays a crucial role in enhancing effective supervision of Digital Financial Services (DFS). In the context of Tanzania, supervision of DFS involves close collaboration among different departments within the central Bank, which work together on daily supervisory activities, including both onsite and offsite supervision.
In addition, the Bank collaborates with other domestic regulatory authorities such as the telecommunications regulatory authority, the Fair Competition Commission, the Registrar of Companies, the Financial Intelligence Unit, and insurance regulatory authorities etc,. Furthermore, there is collaboration with other central banks and other regional frameworks, as well as with regulatory authorities outside the country, particularly in overseeing cross-border DFS and payment systems.
En respuesta a LEILAH ABDALAH MUBEYA

Re: Intra- and Inter-Agency Coordination

de Kauthar Conrad -
It's great to hear about the advancements in Tanzania around collaboration. Have a look at the readings, I think you will find them insightful Leilah
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Re: Intra- and Inter-Agency Coordination

de Mariam Nansubuga - Group 4
Interesting! No single authority can supervise DFS comprehensively in isolation, and building structured collaboration channels across departments, regulatory bodies, and international partners is essential to closing oversight gaps, preventing regulatory arbitrage, and maintaining a holistic view of risks in an increasingly borderless digital financial landscape.
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Re: Intra- and Inter-Agency Coordination

de AISHA UMARU HADEJIA - Group 1
Collaboration is essential for the effective supervision of Digital Financial Services (DFS). In Nigeria, this involves strong coordination among various departments within the Central Bank of Nigeria, including the Payment Systems, Consumer Protection and Financial Inclusion, IT, and Financial Policy and Regulation departments. It also requires close cooperation with external agencies such as the Securities and Exchange Commission (SEC), the Nigerian Communications Commission (NCC), and the Nigerian Financial Intelligence Unit (NFIU). Together, these institutions carry out daily supervisory activities both onsite and offsite to ensure the safety, inclusiveness, and resilience of the DFS ecosystem.
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Re: Intra- and Inter-Agency Coordination

de Sheena Rebecca Nantumbwe - Group 4
Indeed, collaboration and coordination on all levels that is internal, institutional and cross border goes a long way in enabling DFS supervisors acquire more insight and regulatory expertise on the ever-evolving financial advancements
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Re: Intra- and Inter-Agency Coordination

de Lucy Kihembo - Group 4
Collaboration and coordination also improve efficiency and learning curve in the DFS dynamic environment. This was a well represented section of the module
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Re: Intra- and Inter-Agency Coordination

de Jemimah Precious Kuteesa - Group 4
Intra and Inter-Agency is definitely crucial in DFS supervision; given the various regulations that most DFS providers are required to comply with, all supervisory bodies must work collaboratively to mitigate risks that may arise out of jurisdictional overlap or mandate redundancy.
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Re: Intra- and Inter-Agency Coordination

de Usman Bayero - Group 1
The lecture underscores that for a complex market like Nigeria, intra agency coordination is vital to prevent "policy silos". Inter agency coordination between regulators in Nigeria is the only effective way to tackle cross-cutting issues like regulations on stablecoin, rides of predatory loan sharks etc. Without this synchronised approach, we risk creating a regulatory vaccum that stifles innovation and leaves consumers vulnerable.
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Re: Intra- and Inter-Agency Coordination

de Zedi Muyingo Muyingo - Group 4
The lecture underscores the relevance of collaboration in conduction supervision of DFS providers. Both home and host regulatirs play key roles in enhancing supervision of these entities.
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Re: Intra- and Inter-Agency Coordination

de Aliyu Mohammed - Group 1
This is very critical. Supervisors must ensure intra and inter-agency collaboration if they must stem regulatory arbitrage.
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Re: Intra- and Inter-Agency Coordination

de KABIRU MUDASHIRU - Group 1
In Nigeria we have the inter agency coordination, one of the very notable one is the FSRCC (Financial Service Regulations Coordinating Committee, which include Security and Exchange Commission (SEC), Central Bank of Nigeria (CBN), Pension Commission (PENCOM), National Insurance Commission (NAICOM), Nigeria Deposit Insurance Commission (NDIC), CAC, FIRS, NSE. they collaborate to prevent regulatory arbitrage, and in some instances carry out consolidated examination of institutions especially those with Holdco structure.
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Re: Intra- and Inter-Agency Coordination

de Muhammad Nabeel Akhtar Akhtar - Group 5
Collaboration on supervisory issues, at both internal and external level is crucial for effective supervision especially for fintechs and new technologies which have different business models. Without collaboration, supervisors risk developing fragmented assessments, missing interconnected risks and responding inconsistently to innovation.
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Re: Intra- and Inter-Agency Coordination

de Shabani Shabani - Group 6
Collaboration and coordination is very important in supervision and regulation of DFS. As per Tanzania context, various directorate including Directorate of financial sector supervision, Directorate of financial deepening and inclusion, Directorate of National payment system and Directorate of legal services works well together to ensure effective supervision of DFS.
BOT Externally collaborate with Tanzania Tecelecommunication authority (TCRA), Fair Competition Commission (FCC), Financial Crime Unit (FCU), and Financial Intelligence Unit (FIU) to effectivelly regulate DFS and recently launched self regulatory approach for tier II MSPs that will assist regulation of DFS to Digital Microfinance Service Providers.
Internationally BOT participate in international forum coordinated by AFI, MEFMI, FinConnect and many other associations.
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Re: Intra- and Inter-Agency Coordination

de Agaba Albert Busingye Agaba - Group 4
The supervision of DFS requires collaboration across the financial sector for example, In the Ugandan context, The Financial Intelligence Authority and Bank of Uganda have to collaborate in handling Anti-money laundering cases or situation while mitigating risks. This also includes coordinating internally.