An Overview of the Roles and Functions of Selected Financial Role Players to Protect Financial Stability and Promote Market Integrity in South Africa

Authors

DOI:

https://doi.org/10.17159/1727-3781/2024/v27i0a17255

Keywords:

financial stability, market integrity, roles and functions, FSR Act

Abstract

The South African Reserve Bank (SARB) and other financial role players such as the Prudential Authority (PA), the Financial Sector Conduct Authority (FSCA), the National Credit Regulator (NCR), the Financial Intelligence Centre (FIC), the Financial Stability Oversight Committee (FSOC), the Financial Sector Contingency Forum (FSCF), the Financial Sector Council of Regulators (FSCR) and the Financial Sector Inter-Ministerial Council (FSIC) play a significant role in the protection and promotion of financial stability and market integrity in South Africa. The SARB has the primary financial stability mandate, whilst the FSCA was established to primarily promote market integrity and enhance market efficiency through protecting and promoting the fair treatment of financial customers and promoting financial literacy programs. As technology advances and new players enter the market, traditional financial institutions are faced with increased competition and the need to adapt and innovate to stay relevant. In this regard, regulatory frameworks and the functions of regulatory bodies should be constantly reviewed to conform to financial technology (fintech) developments and safeguard consumer interests. This article examines the roles and functions of the aforementioned financial role players as regulated by the Financial Sector Regulation Act (FSR Act) and other relevant financial sector laws. This is done to evaluate the effectiveness of their roles and functions to protect and promote financial stability and market integrity in line with fintech and Artificial Intelligence (AI) developments. The paper also evaluates the importance of cooperation and collaboration between the financial role players to fulfil their roles and functions.

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Author Biographies

  • Howard Chitimira, North-West University

    LLB (cum laude), LLM (UFH), LLD (NMMU). Research Professor and Professor of Securities and Financial Markets Law, Faculty of Law, North-West University, South Africa

  • Sharon Munedzi, North-West University

    LLB, LLM, LLD (NWU). Postdoctoral Research Fellow, Faculty of Law, North-West University, South Africa

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Published

26-08-2024

Issue

Section

Special Edition: Banking, Competition & Corporate Law

How to Cite

Chitimira, H., & Munedzi, S. (2024). An Overview of the Roles and Functions of Selected Financial Role Players to Protect Financial Stability and Promote Market Integrity in South Africa. Potchefstroom Electronic Law Journal, 27, (Published on 26 August 2024) pp 1-32. https://doi.org/10.17159/1727-3781/2024/v27i0a17255

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