Financial Crime World

Title: Harvest Advokatbyrå: Navigating Complex Banking Compliance in Sweden ���gesweden

Subtitle: A Look into the Swedish Financial Supervisory Authority and Banking Laws ���anca-regulation

December 12, 2023

Sweden, known for its rigorous banking regulations, boasts a complex compliance landscape shaped predominantly by EU directives and regulations, as well as domestic legislation such as the Banking and Financing Business Act (SFS 2004:297).

As Scandinavia’s largest independent specialist law firm, Harvest Advokatbyrå regularly advises financial institutions, including banks, payment institutions, crypto-asset service providers, and start-ups, on intricate banking compliance issues. Services offered encompass various aspects:

  1. Authorization procedures
  2. AML/CTF regulations
  3. Sustainable finance
  4. Outsourcing
  5. Corporate matters

Sweden’s banking sector is governed by a comprehensive legal framework including:

  1. Banking and Financing Business Act
  2. Capital Requirements Regulation
  3. Resolution Act
  4. Money Laundering and Terrorist Financing Act
  5. Payment Services Act
  6. Electronic Money Act
  7. Securities Market Act
  8. Investment Funds Act
  9. Alternative Investment Fund Managers Act

Supervision and Regulators 🗝️swedish-regulation

Sweden’s Financial Supervisory Authority (SFSA) oversees banks’ micro and macro-level supervision, with staff from the SFSA. Additional authorities involved are the Riksbanken, Riksgälden, and the Ministry of Finance.

Licenses and Application Process ���anks-licensing

Swedish banks need authorization for operations granted by the SFSA. To obtain a license, applicants must meet stringent requirements such as strong governance, board expertise, and substantial capital bases. The application process includes submitting:

  1. Extensive documentation
  2. Business plans
  3. Organizational charts
  4. Group ownership charts

Control, Acquisition, and Ownership 🤝️banking-mergers-and-acquisitions

Banks’ acquisition or increased control regulations demand authorization before acquiring a significant holding. Potential acquirers face considerations such as suitable management, reputation, and financial background.

Compliance and Reporting 📊swedish-compliance

Banks’ corporate governance requirements necessitate maintaining:

  1. A clear organizational structure
  2. Ethical rules adherence
  3. Conflict management
  4. Risk management frameworks

Regular reporting to the SFSA is mandatory for maintaining regulatory compliance.

As Finland’s premier legal advisor in the financial sector, Harvest Advokatbyrå aids clients in understanding and adhering to Sweden’s complex regulatory landscape, ensuring their businesses thrive in a competitive market.