Legal Risks: Governance, Compliance and an Evolving Legal Environment
Legal Risks: Governance, Compliance and an Evolving Legal Environment
Legal Risks: Governance, Compliance and an Evolving Legal Environment
Chair: Atilla Arda, Senior Financial Sector Expert, International Monetary Fund
Day 1, 17th September – New Risks: A Legal Perspective
The interaction of new mandates, autonomy, and governance: a comparative analysis
Atilla Arda, Senior Financial Sector Expert, International Monetary Fund
- Legal implications of the evolving mandates and governance structure of central banks
- Comparative analysis of developments in selected jurisdictions
- New roles and responsibilities in the legal team
- Discussion: how can the legal departments help to deliver change
Central bank governance and legal reform: a case study of the Bank of Israel
Karnit Flug, former Governor, Bank of Israel (invited)
- Strategies and examples of changing a central bank’s laws
- Strengthening central banks legal accountability frameworks
- Implications for independent decision-making structure
- Case study: changes in the Bank of Israel’s legal framework
The post-crisis central bank: fit for purpose?
Workshop with Hans Kuhn, former General Counsel, Swiss National Bank
- Lessons learned and longer-term reforms affecting the way central banks interact with their market
- Monetary policy, institutional & regulatory reforms: post-crisis policy actions
- Evolution of central banks as regulators
- Discussion: how can central banks better prepare for the next crisis
Day 2, 18th September – New Frameworks and Strategies for Legal Risks
Effective legal risk management: a user’s guide
Murat Baykal, Senior Counsel, Central Bank of the Republic of Turkey
- Key features of effective legal risk management
- The roles and reporting lines necessary to enforce the framework
- Understanding the implications of decentralised legal risk management
- Discussion: Applicability of the framework to delegates home institutions
Legal Tech and the risks of disruptive innovation
Thomas Curry, Partner, Nutter McClennen & Fish LLP & former U.S Comptroller of the Currency
- Impact of disruptive innovation on financial services industry
- Implications for the work of central bank legal officials
- Tips to incorporating innovation in a financial institution structure
- The state of the art in Legal Tech and applications in central banking
AI and Machine Learning in financial services and supervision: legal implications in focus
Nikita Aggarwal, Research and Course Design Fellow in Law and Technology, University of Oxford & former Counsel, International Monetary Fund
- High level overview of legal areas impacted by AI and machine learning
- Implications of AI and machine learning on financial regulation and supervision
- Strategies for helping disruptive innovation comply with legal requirements
- AI and machine learning in regulation and supervision: who is accountable?
Legal framework for crypto assets and CBDCs
Monika Johansson, Advisor, Payments Department, Sveriges Riksbank – (invited)
- Legal foundations of regulatory framework for crypto assets
- Strategies for combating illegal activities such as money laundering and finance of terrorism
- Key features of legal frameworks behind CBDC
- Overview of necessary legislative and regulatory amendments for a systematic CBDC issuance
Climate change: new legal risks to central banks
Frank Elderson, Board Member, De Nederlandsche Bank – (invited)
- Impact of climate change on central banks mandates and regulators
- Understanding the new legal implications of climate change to central banks
- Emerging trends in dealing with climate risks
- New responsibilities for legal departments in financial services: how can central banks educate the industry
Day 3, 19th September – Building Effective Banking Resolution
Effective bank resolution regimes: building blocks in focus
Clare Merrifield, Senior Legal Counsel, Resolution Directorate, Bank of England
- Key features of effective resolution regimes
- Examples of resolution plans, resolvability assessments and evidential decision making
- Emerging challenges for central bank lawyers for removing barriers to resolvability
- Case study: key features of the Bank of England’s revised resolvability assessment framework
Foundations for cross-border bank resolution
Eamonn White, Division Head, Resolution, Hong Kong Monetary Authority
- Key steps in designing effective cross-border resolution frameworks
- Overview of strategies used for cross-border crisis management
- Tips for effective cross jurisdiction co-operation and coordination
- Discussion: how to plan for resolution of individual firms?
The simultaneous resolution of several banks: case study of Bank of Ghana
Elsie Addo Awadzi, Second Deputy Governor, Bank of Ghana
- Example of simultaneous bank resolution of several banks
- Overview of short and medium term steps
- The role and responsibilities of the legal department
- Discussion: what is the role of the central bank in building confidence and resilience
Day 4, 20th September – New Views on Liquidity and Collateral
Legal risks of collateral taking
Randip Bains, Legal Counsel & Radhika Sood, Senior Legal Counsel, Bank of England
- Overview of the legal risks associated with collateral taking
- Strategies for the due diligence process of collateral taking
- Dealing with the legal risks in taking raw loans
- Discussion: how to approach different collateral risks in home jurisdictions?
Revisiting emergency lending assistance: a case study of Canada
Steve Thomas, Assistant General Counsel, Bank of Canada
- Recent policy changes to Bank of Canada’s Emergency Lending Assistance (ELA)
- Strategies to manage legal risks stemming from ELA operations
- Implications of the “lender of last resort” function in ELA context
- Case study: new responsibilities for the legal department
Delegate action points and course conclusion
Led by chairman, Atilla Arda
- Summary of the course and main points
- Discussion of the observed trends and case studies
- Application of learning points in the delegates’ home organisations
- Preparation of action points