¹ See, for example, views presented in conference papers presented at a conference in Estonia, Tallin, 2001, appearing in the following publication: The World Bank and Ministry of Finance of the Republic of Estonia, Challenges for the Unified Financial Supervision in the New Millennium, (Tallin: Ministry of Finance, 2001).Google Scholar

² For example, the World Bank has provided technical assistance to a number of its member countries on this matter. Also, the International Monetary Fund, Asian Development Bank and USAID have shown interest in the subject.Google Scholar

³ See, for example, case studies in: The World Bank and Ministry of Finance of the Republic of Estonia, Challenges for the Unified Financial Supervision in the New Millennium, (Tallin: Ministry of Finance, 2001).Google Scholar

⁴ See, for example, the bulk of the literature reviewed in the following papers: K.K. Mwenda and A. Fleming, International Developments in the Organizational Structure of Financial Services Supervision: Part I, 16 Journal of International Banking Law No. 12 (2001); K.K. Mwenda and A Fleming, International Developments in the Organizational Structure of Financial Services Supervision: Part II, 17 Journal of International Banking Law No.1(2002); and, K.K. Mwenda, Integrated Financial Services Supervision in Poland, the UK and the Nordic Countries, 10 Tilburg Foreign Law Review No.2(2002).Google Scholar

⁵ See, Briault, C., “The Rationale for a Single National Financial Services Regulator,” Occasional Paper Series No. 2, (London: Financial Services Authority, May 1999).Google Scholar

⁶ See, Briault, C., “The Rationale for a Single National Financial Services Regulator,” Occasional Paper Series No. 2, Ibid. In another paper, Briault (see, C. Briault, A Single Regulator for the UK Financial Services Industry, Financial Stability Review (November 1998)), observes that the benefits of a unified regulator include the harmonization, consolidation and rationalization of the principles, rules and guidance issued by the existing regulators or embedded within existing legislation, while recognizing that what is appropriate for one type of business, market or customer may not be appropriate for another; a single process for the authorization of firms and for the approval of some of their employees, using standard processes and a single database; a more consistent and coherent approach to risk-based supervision across the financial services industry, enabling supervisory resources and the burdens placed on regulated firms to be allocated more effectively and efficiently on the basis of the risks facing consumers of financial services; a more consistent and coherent approach to enforcement and discipline, while recognizing the need for appropriate differentiation; and, in addition to a single regulator, single schemes for handling consumer complaints and compensation, and a single independent appeals tribunal. See, also, M. Taylor and A. Fleming, Integrated Financial Supervision: Lessons from Northern European Experience, Policy Research Working Paper 2223, p. 11 (Washington DC: The World Bank, 1999).Google Scholar

⁷ See, for example, papers cited above in supra. (n.4), and those that are referenced in the section of this paper under the head, ‘Review of the Literature and Some Country Developments'.Google Scholar

⁸ See, Mwenda, K.K., Integrated Financial Services Supervision in Poland, the UK and the Nordic Countries, Tilburg Foreign Law Review, op cit.Google Scholar

⁹ The Financial Services Development Act 2001.Google Scholar

¹⁰ See Mwenda, K.K. and Fleming, A., International Developments in the Organizational Structure of Financial Services Supervision: Part I, 16 Journal of International Banking Law No. 12 (2001); and, K.K. Mwenda and A Fleming, International Developments in the Organizational Structure of Financial Services Supervision: Part II, 17 Journal of International Banking Law No.1(2002).Google Scholar

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¹⁶ In Hungary, for example, the emergence of universal banking is one of the reasons that supported the setting-up of a unified regulator, while in Norway the emergence of ‘bankassurance’ financial institutions gave a good case for establishing a unified regulator.Google Scholar

¹⁷ The conference was organised jointly by the World Bank and the Ministry of Finance of the Republic of Estonia, focussing mainly on lessons of experience with unified supervision of financial services in Europe. Proceedings of the conference were published as, The World Bank and Ministry of Finance of the Republic of Estonia, Challenges for the Unified Financial Supervision in the New Millennium, (Tallin: Ministry of Finance, 2001).Google Scholar

¹⁸ See, Mwenda, K.K. and Fleming, A., “International Developments in the Organisational Structure of Financial Services Supervision,” conference paper presented at a conference organised by the World Bank and the Ministry of Finance of Estonia, and held in Tallinn, on unified supervision of financial services in Europe, 2001.Google Scholar

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²⁰ See, Kawai, Y., “Global co-ordination and collaborative activities of supervision in three different financial sectors,” conference paper presented at a conference organised by the World Bank and the Ministry of Finance of Estonia, and held in Tallinn, on unified supervision of financial services in Europe, 2001.Google Scholar

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²⁷ Kraft, V., “Tasks of financial supervision in safeguarding the financial stability,” conference paper presented at a conference organised by the World Bank and the Ministry of Finance of Estonia, and held in Tallinn, on unified supervision of financial services in Europe, 2001, at p. 8.Google Scholar

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³⁵ Ibid, at p. 9.Google Scholar

³⁶ Ibid, at p. 6.Google Scholar

³⁷ D.T Llewellyn, “The creation of a single financial regulatory agency in Estonia: the Global Context,” conference paper presented at a conference organised by the World Bank and the Ministry of Finance of Estonia, and held in Tallinn, on unified supervision of financial services in Europe, 2001, at p. 4.Google Scholar

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⁴⁵ Bjerre-Nielsen, H., “Objectives, functions and structure of the unified agency,” conference paper presented at a conference organised by the World Bank and the Ministry of Finance of Estonia, and held in Tallinn, on unified supervision of financial services in Europe, 2001, at p. 11.Google Scholar

⁴⁶ There is a memorandum of understanding facilitating this process.Google Scholar

⁴⁷ See, web-site of the German Federal Financial Supervisory Authority at: <<http://www.bafin.de/index_e.htm>>, visited on March 3, 2003.>,+visited+on+March+3,+2003.>Google Scholar

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⁶³ As an illustration, the World Bank and the International Monetary Fund have started a pilot program of anti-money laundering (and counter-terrorist financing) assessments, using the comprehensive methodology endorsed by both the Bank and Fund Boards, and adopted by the Financial Action Task Force (FATF) for assessing compliance with the FATF 40+8 recommendations.Google Scholar

⁶⁴ See, web-site of the German Federal Financial Supervisory Authority at: <<http://www.bafin.de/index_e.htm>>, visited on March 3, 2003.>,+visited+on+March+3,+2003.>Google Scholar

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⁶⁷ Sanio, Jochen, President of the Bundesaufsichtsamt für das Kreditwesen (Federal Banking Supervisory Office of Germany), “The new Single Regulator in Germany,” speech given at the Banking Supervision at the Crossroads Conference of De Nederlandsche Bank, Amsterdam, April 24^th, 2002, pp. 1–2.Google Scholar

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⁷² Freshfields Bruckhaus Deringer, The Financial Services Sector in Europe: Regulatory Investigation and Enforcement Issues in Germany, (Frankfurt am Main: Freshfields Bruckhaus Deringer, 2002), executive summary.Google Scholar

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⁸⁹ The first cross-sectoral department, Financial Market/International Issues, deals mainly with cross-sectoral issues concerning financial markets, financial instruments and financial conglomerates. The second cross-sectoral department looks at issues relating to the protection of deposits, investor and consumer protection and retirement provision. The third cross-sectoral department is concerned with combating money laundering and prosecuting cases of illegal financial transactions.Google Scholar

⁹⁰ See, web-site of the German Federal Financial Supervisory Authority at: <<http://www.bafin.de/index_e.htm>>, visited on March 3, 2003.>,+visited+on+March+3,+2003.>Google Scholar

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¹¹² As a policy paper published by the BaFin notes (see, web-site of the German Federal Financial Supervisory Authority, op.cit.), “Before BaFin was founded, Asset Management and its sections belonged to the BAKred. Their responsibilities consist in monitoring both investment companies and financial services institutions as well as the marketing activities of foreign investment companies in accordance with the Foreign Investment Act (Auslandsinvestment-Gesetz). Their tasks being closely related to securities supervision, they were integrated into the third directorate when the supervisory authority was reorganised. The directorate for Securities Supervision/Asset Management is comprised of four departments, one of which includes a separate group. The total number of units in the directorate is 25.”Google Scholar

¹¹³ See, web-site of the German Federal Financial Supervisory Authority at: <<http://www.bafin.de/index_e.htm>>, visited on March 3, 2003.>,+visited+on+March+3,+2003.>Google Scholar

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