Chile: Technical Assistance Report — Forming an Integrated Supervisory Authority
IMF Staff Country Reports, February 27, 2020
Source details
- Canonical URL
- Chile: Technical Assistance Report — Forming an Integrated Supervisory Authority
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Bibliographic details
- Published: February 27, 2020
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781513531687.002
Overview
- Purpose: Technical Assistance Report advising on the planned integration of the Superintendencia de Bancos y Instituciones Financieras (SBIF) into the Comisión para el Mercado Financiero (CMF).
- Central conclusion: Approved Bills contain important enhancements to governance and the regulatory framework, but several legal aspects would benefit from further clarification, notably concerning the mandate, objectives, powers, and governance of the CMF.
Main observations and recommendations
- Observations:
- The integration aims to realize synergies in the supervision function and strengthen conglomerate supervision.
- Several legal aspects remain unclear after the approved Bills, affecting the CMF’s mandate, objectives, powers, and governance.
- Recommendations (high-level):
- Clarify the legal mandate and objectives of the CMF to avoid ambiguity in supervisory scope.
- Specify powers and enforcement tools of the CMF to ensure effective supervision across banking and financial markets.
- Refine governance arrangements to support accountability, independence, and coordinated decision-making.
- Design an organizational structure that enables effective conglomerate supervision and operational synergies.
Supervisory architecture, mandate, objectives, and powers
- Content covered by the report:
- Overview of the existing supervisory architecture prior to integration.
- Analysis of the legal mandate, objectives, and powers envisaged for the new CMF.
- Key analytical focus:
- How the new legal framework defines supervisory reach across institutions formerly under the SBIF and other market supervisors.
- Identification of gaps where statutory language should be clarified to prevent overlaps or gaps in supervisory authority.
Governance arrangements and recent legal changes
- Content covered by the report:
- Discussion of governance arrangements that existed prior to integration.
- Examination of the main changes brought by the Law recently approved.
- Governance themes addressed:
- Board composition and roles (including Board of the CMF and committee chair roles).
- Delegation mechanisms (including CMF President delegate).
- Committee structure and its implications for decision-making and oversight.
Possible organizational blueprint
- Purpose: Present a possible blueprint for the organizational structure of the new CMF.
- Objectives of the blueprint:
- Realize desired synergies in supervision functions.
- Strengthen conglomerate supervision through coordinated organizational design.
- Support implementation of clarified mandate, objectives, and powers.
- Structural considerations highlighted:
- Alignment of supervision functions across banking, securities, and conglomerates.
- Creation or redesign of committees and delegated authority to facilitate specialized supervision while preserving governance safeguards.
Content in this bundle
- 1chlea2020001 - Preface