CBS hosts banking workshop in collaboration with KPMG |05 September 2015

Ongoing training of individuals working in the banking sector is important for continued development of the sector.

With this mindset, the Central Bank of Seychelles (CBS) hosted two workshops on banking in collaboration with KPMG specialists from August 19-20, 2015. The delegates of the first workshop included staff from the commercial banking sector and Seychelles Credit Union, while the second involved staff from regulatory authorities namely, CBS the Financial Services Authority and the Financial Intelligence Unit.

The workshops provided updates on the trends affecting the industry, both locally and internationally as well as international best practices related to the financial sector. The topics covered in the workshops tied in with concerns and objectives prevailing in the financial sector in Seychelles, which can be summarised as financial sector development and compliance with international regulatory standards.

In her introductory address to the workshops the governor of CBS, Caroline Abel, highlighted the importance of these two objectives towards the visibility of Seychelles as a genuine and sound jurisdiction.

International developments in relation to risk management was one of the main topics addressed in the workshops. The delegates obtained an overview of risk management standards, including those termed Basel II and Basel III which are prescribed by the global standard setting body for banking supervisors, the Basel Committee on Banking Supervision (BCBS) at the Bank for International Settlements (BIS). This has relevance to CBS’ plans to further implement these standards in Seychelles with the aim of strengthening banks’ capital adequacy and risk management framework.
 
The workshop also provided an insight into prevailing compliance issues, which include anti-money laundering regulations, factors that led to the 2008 financial crisis and the manner in which banks conduct business and deal with customers.

Reviewing the regulatory and supervisory framework (which includes prudential, money-laundering and consumer protection aspects) is ongoing work for Seychelles’ regulators in order to ensure alignment with international best practices. It is also important for the commercial financial sector to build capacity in order to ascertain the robustness of the risk management framework and adherence to regulatory standards.

Additionally, there was an overview of investigative application in banking, including frauds and cyber threats and the need to have enhanced controls in place in an ongoing basis. The recent skimming incident at ATMs in Seychelles is proof that this is a global phenomenon relevant to all jurisdictions, be it large or small, and that there needs to be continuous education and work in this regard.

Against the backdrop of the priorities in the financial sector, there is a need for individuals working in the banking sector to keep abreast of issues related to that sector, including the regulatory and commercial developments.

The workshops represented training opportunities for delegates in this regard and put into context international practices to the realities in Seychelles’ banking sector.