| dc.description.abstract | The promotion, protection, maintenance and enhancement of financial stability and
market integrity in South Africa relies on effective and adequate cooperation and
collaboration arrangements between the South African Reserve Bank (SARB) and other
financial role players, namely, the Financial Sector Conduct Authority (FSCA), the
Prudential Authority (PA), the National Credit Regulator (NCR), the Financial Intelligence
Centre (FIC), relevant Cabinet members, the Financial Sector Inter-Ministerial Council (FSIC), the Financial Sector Council of Regulators (FSCR), the Financial Stability
Oversight Committee (FSOC) and the Financial Sector Contingency Forum (FSCF). The
Financial Sector Regulation Act (FSR Act) provides a statutory regulatory framework to
regulate cooperation and collaboration between the SARB and other financial role players
to promote, protect, enhance and maintain financial stability and market integrity. Several
mechanisms were established under the FSR Act to foster effective cooperation and
collaboration between the SARB and other financial role players. These include the
establishment of a statutory duty to cooperate and collaborate, the establishment of the
duty to enter into Memorandums of Understanding (MOUs) regarding cooperation and
collaboration arrangements and the establishment of forums to facilitate cooperation and
collaboration. Cooperation and collaboration between the SARB and other financial role
players are essential for promoting financial stability and enhancing financial integrity
because they enable the coordination of regulatory functions, regular discussions,
consultations, mutual assistance and sharing of information on matters of common
interests. Effective and robust cooperation and collaboration between the SARB and
other financial role players also ensure transparency of regulatory actions and prevent
the duplication of tasks and blurred regulatory boundaries between the SARB and other
financial role players. Cumbersome cooperation and collaboration between the SARB
and other financial role players may also cause regulatory gaps which threaten financial
stability and market integrity in South Africa. It is submitted that international cooperation
and collaboration between the SARB and other central banks and cross-border financial
role players are also essential for maintaining global financial stability and the integrity of
financial markets. International cooperation and collaboration also create important
relations between South Africa and other jurisdictions, which are essential for investor
confidence and the investigation of cross-border market misconduct. To this effect,
international best practices for cooperation and collaboration between central banks and
other financial role players were established and standards were set for member states
to follow. This thesis reveals that the regulation of cooperation and collaboration between
the SARB and other financial role players under the FSR Act is inadequate and is not consistently enforced to promote, protect, enhance and maintain financial stability and
market integrity in South Africa. This is due to the fact that there is a lack of measures to
consistently enforce compliance with the statutory provisions relating to cooperation and
collaboration between the SARB and other financial role players in South Africa. This
thesis does a comparative analysis of the regulation of cooperation and collaboration
between central banks and other financial role players in the United Kingdom (UK) and
Australia to derive lessons that can be used to enhance the regulation of cooperation and
collaboration between the SARB and other financial role players in South Africa. The
researcher proposes a regulatory model that policymakers can use to ensure the
effectiveness of the regulation of cooperation and collaboration between the SARB and
other financial role players to promote, protect, enhance and maintain financial stability
and market integrity in South Africa. | en_US |
