Co-operation

The FME co-operates with a number of stakeholders in Iceland and on an international level.

Co-operation with the Central Bank of Iceland

The Financial Supervisory Authority works in close co-operation with the Central Bank of Iceland. Joint consultation meetings are held at regular intervals and two-way channels for the dissemination of necessary information are constantly open.

FME and the Central Bank of Iceland have signed a special agreement on cooperation and agreement on payment and settlement systems.

Consultation Committee of parties subject to supervision
A special Consultation Committee for parties subject to supervision is operated under the auspices of the Authority. FME executives shall hold regular meetings with the Committee. The Consultation Committee comments on the FME's operation plan for each coming year.

The Committee does not have power of decision in matters pertaining to the FME.

The Icelandic Depositors and Investors Guarantee Fund

Iceland is a member of the European Economic Area (EEA), and has therefore implemented EU Directive 94/19/EC on Deposit Guarantee Schemes in the same way as EU countries. The Icelandic Depositors and Investors Guarantee Fund accordingly provides for a minimum deposit protection of 20,000 EUR.
 
The Icelandic Scheme extends its guarantee to depositors of a members bank´s branches operating in other Member States of the EU/EEA. The Icelandic Scheme is operated via a special fund operated under law which is both pre-funded and post-funded if needed, as is the general setup across Europe.
 
It is also possible for Icelandic banks to apply to join a supplementary scheme in host countries which have a guarantee above the EU minimum level. Where that is the case customers of branches of Icelandic banks would receive the amount which is guaranteed by the fund in the country where the branch is.

Depositors´and Investors´Guarantee Fund website.

International co-operation

The FME is involved in extensive international co-operation and attends meetings in this regard. There are two main reasons for participating in this co-operation. On the one hand, the FME seeks to bring back to the Icelandic financial market knowledge and experience gained in supervision of larger and more developed markets. On the other hand, the FME has considered it to be part of its role to strengthen the competitiveness of the Icelandic market. Its participation in international co-operation is a major aspect of such efforts, since close co-operation and co-ordination with similar bodies abroad improves the probability of developing comparable attitudes towards the soundness and credibility of the Icelandic market and its supervision.

In addition to its co-operative efforts with Nordic financial supervisory authorities, the FME is a member of the Committee of European Insurance and Occupational Pension Supervisors (CEIOPS), which was established in 2003, European banking co-operation (in Groupe de Contact), Committee of European Banking Supervisors (CEBS) established in 2003 and the Committee of European Securities Regulators (CESR). The FME is also a full member of the International Association of Insurance Supervisors (IAIS).

A diagram over the various different entities FME collaborates with can be downloaded here.