Financial Crime World

Bank of Russia Adopts Decisions on State Registration of Non-Governmental Pension Funds

Moscow, June 20, 2024

The Bank of Russia has adopted decisions on the state registration of non-governmental pension funds, exercising supervision over the activities of credit institutions and banking groups, as well as regulating and controlling the activities of non-bank financial institutions.

According to a press release from the central bank, it has also set the procedure for effecting settlements with international organizations, foreign states, legal entities, and individuals. Additionally, the Bank of Russia has approved industry accounting standards for itself, credit institutions, non-bank financial institutions, credit history bureaus, and credit rating agencies.

Objectives

The central bank’s decisions are aimed at ensuring the stability and security of the Russian financial system, as well as protecting the rights and legitimate interests of shareholders and investors in the financial markets.

Supervision and Regulation

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  • The Bank of Russia will exercise control over compliance with federal laws on joint-stock companies and securities.
  • It will regulate corporate relations in joint-stock companies.
  • It will register issues of issue-grade securities, securities prospectuses, and reports on the results of the issuance of issue-grade securities.

Foreign Exchange Regulation

  • The central bank is responsible for organizing and exercising foreign exchange regulation and control, in accordance with Russian legislation.
  • It sets the procedure for effecting settlements with international organizations, foreign states, legal entities, and individuals.

Balance of Payments and International Investment Position

  • The Bank of Russia will compile the balance of payments of the Russian Federation, international investment position of the Russian Federation, statistics on external trade of the Russian Federation in services, external debt of the Russian Federation, international reserves of the Russian Federation, direct investment in the Russian Federation, and direct investment of the Russian Federation abroad.

Economic Analysis and Forecasting

  • The central bank will analyze and forecast the state of the Russian economy.
  • It will publish relevant materials and statistics to inform the public and policymakers.

Other Functions

  • The Bank of Russia will fulfill other functions in compliance with federal laws, including:
    • Exercising control over compliance with requirements on countering illegal use of insider information and market manipulation.
    • Protecting the rights and legitimate interests of shareholders and investors.
    • Organizing services to transmit electronic messages on financial operations.

Financial Literacy and Inclusion

  • The central bank will collaborate with the Government of Russia to implement measures aimed at improving financial literacy among individuals and small and medium-sized enterprises in Russia.
  • It will develop and implement a policy of improving financial inclusion for individuals and small and medium-sized enterprises.

These decisions demonstrate the Bank of Russia’s commitment to maintaining the stability and security of the Russian financial system, while promoting financial inclusion and protecting the rights of shareholders and investors.