Financial Crime World

FINANCIAL REGULATIONS IN HUNGARY: A COMPLIANCE FRAMEWORK FOR FINANCIAL INSTITUTIONS

Regulatory Landscape for Financial Institutions in Hungary

The Hungarian financial regulatory landscape is subject to a complex array of laws and guidelines that govern the operations of financial institutions. As such, it is essential for these organizations to understand their compliance obligations to avoid non-compliance penalties.

Key Regulations for Financial Institutions in Hungary

  • The European Banking Authority Guidelines on outsourcing arrangements, issued on February 25, 2019, apply to EU-regulated credit institutions, investment firms, electronic money institutions, and payment institutions.
  • Recommendation No. 4/2019 (IV. 1.) of the Hungarian National Bank on the usage of community and public cloud computing services also applies to financial institutions in Hungary.

Financial institutions using AWS services should consider applicable privacy requirements, including the General Data Protection Regulation (GDPR). To better understand their compliance needs, customers can:

  1. Consider the purpose of the workload(s) under consideration and the relevant categories of data in order to anticipate which legal and regulatory requirements may apply.
  2. Assess the materiality or criticality of the relevant workload(s) in light of local requirements.
  3. Review the AWS Shared Responsibility Model and map AWS responsibilities and customer responsibilities according to each AWS service that will be used.

AWS Resources for Financial Institutions

  • AWS Compliance Quick Reference Guide
  • Implications of the Code of Conduct for Cloud Infrastructure Service Providers in Europe
  • Navigating GDPR Compliance on AWS
  • Using AWS in the Context of Common Privacy and Data Protection Considerations

By understanding these regulations and guidelines, financial institutions can ensure compliance with applicable legal and regulatory requirements.