FSC Pandemic Response

News Articles • May 20, 2020 • by: FSC • [Download Document]

FSC implements changes to supervisory framework during COVID-19 pandemic


(KINGSTON, Jamaica; 2020 May 20): The Financial Services Commission (FSC) has embarked on a
programme of key regulatory reforms designed to ensure transparency and stability of its regulated
industries.


These actions are being undertaken in partnership with key industry stakeholder groups as well as the
Bank of Jamaica. The FSC which is charged with regulatory oversight of the insurance, securities and
private pension industries has rolled out a raft of initiatives for enhanced industry supervision. These
include, inter alia:


(1) Enhanced monitoring of the insurance and securities sectors, with more frequent reporting
cycles for critical indicators of liquidity pressures and/or credit risk developments, and
requirements for stress testing of pandemic effects.


(2) Enhanced dialogue with regulated entities in respect of their expectations for capital adequacy
and any required remedial actions.


(3) Notification requirement regarding the payment of dividends, to allow for adequate regulatory
response.


The FSC maintains an even-closer dialogue with the Bank of Jamaica, given the interconnectedness of
the financial sector and the synergy in regulatory responsibilities, as well as with industry groups and
various market participants. To date, the FSC is satisfied that the collaborative efforts of regulators,
licensees/registrants, and market participants have maintained generally sound financial conditions,
notwithstanding volatility in asset prices and evolving investment portfolio positions. The FSC will
remain vigilant going forward.
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Financial
Services Commission
Office of Communication and International Relations
39-43 Barbados Avenue
Kingston 5
Telephone: (876) 906-3010-2
Fax: (876) 906-3019
Email: ocir@fscjamaica.org
Website: www.fscjamaica.