Legal Risks: Governance, Compliance and an Evolving Legal Environment 2022
Legal Risks: Governance, Compliance and an Evolving Legal Environment 2022
Legal Risks: Governance, Compliance and an Evolving Legal Environment
September 12 – 15
Live Content sessions held: 9am–1pm (EDT) | 2pm–6pm (BST) | 9pm–1am (SGT)
Chair: Atilla Arda, senior financial sector expert, International Monetary Fund
The past two years have seen the legal risk profile of central banks shift. Three disruptive forces stand out. First, the advent of CBDCs and the incorporation of climate are changing the relationship between a central bank, its public and the financial ecosystem. Secondly, and more broadly, technology is changing not just financial markets, but the tools supervisors use to identify risks. And third, the seizure and freezing of reserves in early 2022 pose questions for the architecture of international finance. Increasingly legal officers in central banks recognise the need to evaluate the
implications of a changing policy environment, new responsibilities and technological innovation.
This course is designed to equip central bankers to meet these challenges. Each day will feature three hours of expert-led Live Content to maximise the opportunity to share and learn. The chair will ensure participants have opportunities to network throughout the course, with time set aside for a workshop on implementing key learnings.
Agenda
Two weeks prior to your training course you will be emailed access to our content hub with course materials, including a trial to Central Banking if you are not already subscribed. There will be a combination of articles, reports and presentations that will contribute to two hours of preparation time for the live content. Presentations for the sessions will also be held here subject to the speaker approval.
The changing legal landscape
14:00 – 14:30
Course introduction
Course introduction session led by the chair
14:00 - 14:30
- Introductions and welcome from the chairperson
- Overview of the training course
- Discussion of the participant expectations
Atilla Arda is a Senior Financial Sector Expert in the International Monetary Fund’s (IMF) Monetary and Capital Markets Department; prior to this, he was a Senior Counsel in the IMF’s Financial & Fiscal Law Unit. Mr. Arda joined the IMF in February 2007 from the central bank of the Netherlands where he held a Senior Counsel position and was Substitute Secretary to the Board; he also contributed to the workings of the Legal Committee of the European System of Central Banks. Mr. Arda has consulted for over 70 countries, half of which on-site, including for countries as diverse as Egypt, Greece, Indonesia, Ireland, Jamaica, Kosovo, Myanmar, Portugal, Sri Lanka, and Ukraine. Most recently, he was the deputy head for the Switzerland Financial Sector Assessment Program (FSAP), and he led the FSAP crisis readiness teams for the United Kingdom, United States, and euro area. Mr. Arda is specialized in central bank governance and law, financial law, institutional frameworks for macroprudential policy and crisis management, financial safety net arrangements, crisis preparedness, and bank resolution regimes. Mr. Arda undertook his undergraduate at the Amsterdam Academy of Banking and Finance; he is a graduate of both the Amsterdam Law School and the Amsterdam Graduate School of Law of the University of Amsterdam, where he specialized in international economic and financial law. He is a regular speaker at international conferences and has been chairing Central Banking Publications’ course on ‘Central Bank Governance and Legal Risks’ since 2014.
14:30 – 15:30
15:30 – 16:00
Break
15:30 - 15:45
16:00 – 16:45
Foundations for cross-border bank resolution
15:45 - 16:45
- 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?
Eamonn White
Independent consultant
Ardhill Advisory and former Bank of England and Hong Kong Monetary Authority
Eamonn is Director of Ardhill Advisory LTD, an independent consulting firm focused on advising financial institutions, central banks, national authorities and international organisations, including the International Monetary Fund, on financial stability policy. This includes advising on prudential regulation, bank resolution, central bank liquidity and crisis management.
Between 2020 and 2022, Eamonn was a senior advisor to the Bank of England (BoE), leading a resolution planning team for a large UK bank as part of the BoE's Resolvability Assessment Framework, contributing to UK resolution policy development and cross-border cooperation with international authorities on resolution issues.
From 2016 and 2019, Eamonn was Head of the Resolution Office at the Hong Kong Monetary Authority (HKMA). During this time, he was responsible for leading the development of the domestic statutory/regulatory resolution regime for all Hong Kong banks, leading resolution planning for banks in Hong Kong, often in close cooperation with foreign authorities, and contributing to the international cross-border resolution policy framework and resolution plans for global banks through his work as a member of the Financial Stability Board committees and for the cooperative organization of East Asia-Pacific Central Banks (EMEAP).
Before joining the HKMA, Eamonn worked on financial stability topics, including bank resolution at the Bank of England for 4 years. He was also a senior policy advisor to the Chancellor of the Exchequer at HM Treasury (HMT) for 7 years. At HMT he worked at the centre of the UK’s policy and strategic response to the financial crisis, both managing bank failure and the policy response to the Too-Big-To-Fail problem.
In his early career, Eamonn was a diplomat in Washington DC, covering EU foreign policy and trade issues.
16:45 – 17:00
Break
16:45 - 17:45
17:00 – 18:00
Climate change: new risk to central banks
17:00 - 18:00
- Impact of climate change on central banks’ mandates and responsibilities
- Understanding the legal implications of climate change policies
- Examples of national and cross-jurisdictional initiatives
- Discussion: do central banks have sufficient legal powers to effectively contribute to the greening of the financial system?
Born 1953, Mr. Grønn holds a graduate degree in economics (cand.oecon. 1979) from the University of Oslo. Work experience since 1980 includes vfarious positions at Norges Bank, including Director of International Department, Director of Statistics Department, and Special Advisor to the Governor. Mr. Grønn spent altogether eight years at IMF’s Executive Board in Washington DC, as Senior Advisor (1989-1992), Alternate Executive Director (2011-2013) and Executive Director (2013-2016), as well as one year at the ECB in Frankfurt as national central bank expert, monetary policy (2005-2006). He retired from his position at Norges Bank in July 2021, and continued as a consultant at the Bank on a part-time basis until December 2023.
New frameworks and strategies for legal risks
14:00 – 15:00
Towards a legal framework for CBDCs, stablecoins and crypto assets
14:00 - 15:00
- Taxonomy of digital money: CBDCs, stablecoins and crypto assets in focus
- Key features of – and gaps in – existing legal and regulatory frameworks
- Value proposition and key risks of digital money
- Discussion: are these assets legally “money”?
Jess Cheng is senior counsel at the Federal Reserve Board of Governors, where she specializes in a broad spectrum of payment system issues, including policy analysis of digital assets, stablecoins, and central bank digital currencies, and oversight of the Federal Reserve’s payment services, including the FedNow Service. She was formerly counsel at the International Monetary Fund, where she advised on the strategic direction of the Fund’s fintech work agenda and provided technical assistance to advance law reform in central bank legislation. Previously, she was deputy general counsel at Ripple, a San Francisco-based fintech company specializing in DLT-based cross-border payment solutions. Prior to Ripple, she was counsel and officer at the Federal Reserve Bank of New York, and an associate at the New York law firm Wachtell, Lipton, Rosen & Katz. She holds a B.A. in economics from Yale University and a J.D. from Columbia Law School. She currently serves as the Vice Chair of the American Bar Association’s Uniform Commercial Code Committee of the Business Law Section.
15:00 – 15:15
Break
15:00 - 15:15
15:15 – 16:15
16:15 – 16:45
Networking break
16:15 - 16:45
16:45 – 17:45
AI and machine learning in financial services and supervision: legal implications in focus
15:30 - 16:30
- 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?
Nikita Aggarwal is a lawyer and researcher at the Oxford Internet Institute and Faculty of Law, University of Oxford. Her research examines changes to the regulatory landscape occasioned by the proliferation of data-driven technology, with a particular focus on the implications of machine learning ('artificial intelligence') applications in consumer credit markets. Previously, as the Research and Course Design Fellow in Law and Technology at the Faculty of Law, she researched the educational skills gaps in legal education and training created by technological growth, and helped to design and deliver a more interdisciplinary approach to law and technology education at the University. Prior to entering academia, Nikita was an attorney in the legal department of the International Monetary Fund, where she advised on financial sector law reform in the Euro area and worked extensively on initiatives to reform the legal and policy frameworks for sovereign debt restructuring. She previously practiced as an associate solicitor with Clifford Chance LLP, where she specialized in EU financial regulation and sovereign debt restructuring. She earned an LLB (Hons) from the London School of Economics and Political Science.
Safeguarding financial soundness
14:00 – 15:00
Building blocks for liquidity and funding in resolution and cross-border bank resolution
14:00 - 15:00
- Overview of challenges in cross-border banking and crises impact
- Key steps in designing effective cross-border resolution frameworks
- Tips for effective cross jurisdictional co-operation and coordination
- Discussion: what works and what doesn’t – lessons from the past ten years
Eamonn White
Independent consultant
Ardhill Advisory and former Bank of England and Hong Kong Monetary Authority
Eamonn is Director of Ardhill Advisory LTD, an independent consulting firm focused on advising financial institutions, central banks, national authorities and international organisations, including the International Monetary Fund, on financial stability policy. This includes advising on prudential regulation, bank resolution, central bank liquidity and crisis management.
Between 2020 and 2022, Eamonn was a senior advisor to the Bank of England (BoE), leading a resolution planning team for a large UK bank as part of the BoE's Resolvability Assessment Framework, contributing to UK resolution policy development and cross-border cooperation with international authorities on resolution issues.
From 2016 and 2019, Eamonn was Head of the Resolution Office at the Hong Kong Monetary Authority (HKMA). During this time, he was responsible for leading the development of the domestic statutory/regulatory resolution regime for all Hong Kong banks, leading resolution planning for banks in Hong Kong, often in close cooperation with foreign authorities, and contributing to the international cross-border resolution policy framework and resolution plans for global banks through his work as a member of the Financial Stability Board committees and for the cooperative organization of East Asia-Pacific Central Banks (EMEAP).
Before joining the HKMA, Eamonn worked on financial stability topics, including bank resolution at the Bank of England for 4 years. He was also a senior policy advisor to the Chancellor of the Exchequer at HM Treasury (HMT) for 7 years. At HMT he worked at the centre of the UK’s policy and strategic response to the financial crisis, both managing bank failure and the policy response to the Too-Big-To-Fail problem.
In his early career, Eamonn was a diplomat in Washington DC, covering EU foreign policy and trade issues.
Diarmuid has spent a considerable part of his career working on and writing about financial resilience and the operational aspects of central banking, and he has worked across the globe with many central banks and national supervisory and resolution authorities.
Diarmuid began his central banking career at the Central Bank of Ireland (CBI) and was part of the team that played a key role in the CBI’s response to the Irish financial crisis. Diarmuid has also worked in the market operations area of the European Central bank and spent several years at the International Monetary Fund (IMF), in both the central banking and crisis management areas, where he participated in the IMF’s technical assistance and Financial Sector Assessment Program (FSAP) work. Having returned to the CBI in 2018, Diarmuid took over responsibility for Brexit and fintech related banking/payment institution/e-money authorisations and banking contingency planning, establishing a new unit. In 2020, Diarmuid undertook a fellowship program with the Financial Stability Institute at the Bank for International Settlements in Basel focusing on crisis management issues.
In late 2021 Diarmuid commenced a secondment to the EU Commission, where he is now part of the Commission’s team responsible for implementing its published Renewed Sustainable Finance Strategy where his focus continues to be on financial resilience issues.
Diarmuid also co-leads the development and delivery of a dedicated comparative central banking module as part of a new online Global Central Banking and Financial Regulation master’s degree course with Warwick Business School (and in partnership with the Bank of England).
15:00 – 15:15
Break
15:00 - 15:15
15:15 – 16:15
The simultaneous resolution of several banks: the experience of Ghana
15:15 - 16:15
- 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
Mrs. Elsie Addo Awadzi was appointed 2nd Deputy Governor of the Bank of Ghana in February 2018, with responsibility for financial supervision, financial stability, and financial integrity, among others. She is the second woman to be appointed Deputy Governor in the Bank’s 62-year history.
Before her appointment as Deputy Governor, she was Senior Counsel of the Financial and Fiscal Law Unit of the International Monetary Fund (IMF)’s Legal Department, based in Washington, D.C. In that role, she helped to assess the stability of financial systems in a number of G-20 member countries, and provided technical assistance to help strengthen financial systems and manage financial crises in a variety of IMF member countries. She also advised on legal and institutional aspects of public financial management, public debt management, and fiscal responsibility frameworks.
Strengthening governance; protecting independence
14:00 – 15:00
15:00 – 15:15
Break
15:00 - 15:15
15:15 – 16:15
Financial authorities’ legal liabilities in multilevel regulatory systems
15:15 - 16:15
- Multi-level regulatory system of the banking union
- Enforcement of administrative decisions
- Liability of resolution authorities
- The “distribution” of the liability and the degree of discretion
Pier Mario Lupinu
PhD candidate in banking and finance law, faculty of law, economics & finance,
University of Luxembourg – Universitá Degli Studi Roma Tre
Pier Mario Lupinu is a PhD Candidate in Banking and Finance Law jointly at the Universities of Luxembourg and Roma Tre (Italy). He is a Young Researcher at the European Banking Institute and he has been a Visiting Scholar at the Columbia Law School in New York and a DAAD-funded visiting researcher at the Leibniz Institute for Financial Research SAFE at the Goethe University Frankfurt. Currently, he is a visiting researcher in Bank Insolvency at UNIDROIT. Ahead of the PhD, he worked for the European Commission, the European Investment Bank and the Single Resolution Board.
16:15 – 16:30
Break
16:15 - 16:30
16:30 – 17:15
Closing remarks and participant action plans
Concluding session led by the chair
16:30 - 17:15
- Summary of the course
- Discussion of the observed trends and case studies
- Application of learning points in the participants’ home organisations
- Preparation of action points
Atilla Arda is a Senior Financial Sector Expert in the International Monetary Fund’s (IMF) Monetary and Capital Markets Department; prior to this, he was a Senior Counsel in the IMF’s Financial & Fiscal Law Unit. Mr. Arda joined the IMF in February 2007 from the central bank of the Netherlands where he held a Senior Counsel position and was Substitute Secretary to the Board; he also contributed to the workings of the Legal Committee of the European System of Central Banks. Mr. Arda has consulted for over 70 countries, half of which on-site, including for countries as diverse as Egypt, Greece, Indonesia, Ireland, Jamaica, Kosovo, Myanmar, Portugal, Sri Lanka, and Ukraine. Most recently, he was the deputy head for the Switzerland Financial Sector Assessment Program (FSAP), and he led the FSAP crisis readiness teams for the United Kingdom, United States, and euro area. Mr. Arda is specialized in central bank governance and law, financial law, institutional frameworks for macroprudential policy and crisis management, financial safety net arrangements, crisis preparedness, and bank resolution regimes. Mr. Arda undertook his undergraduate at the Amsterdam Academy of Banking and Finance; he is a graduate of both the Amsterdam Law School and the Amsterdam Graduate School of Law of the University of Amsterdam, where he specialized in international economic and financial law. He is a regular speaker at international conferences and has been chairing Central Banking Publications’ course on ‘Central Bank Governance and Legal Risks’ since 2014.
Learning outcomes
At the conclusion of the training, participants will be able to:
- Gain insights into the implications of climate risk for central bank law and mandates
- Understand the impact of CBDCs and stablecoins on legal and regulatory frameworks
- Assess the effect of recent sanctions on international finance
- Analyse the legal standing of AI and machine learning
- Identify opportunities and risks in fintech
Chair

Atilla Arda
Senior financial sector expert
International Monetary Fund
Atilla Arda is a Senior Financial Sector Expert in the International Monetary Fund’s (IMF) Monetary and Capital Markets Department; prior to this, he was a Senior Counsel in the IMF’s Financial & Fiscal Law Unit. Mr. Arda joined the IMF in February 2007 from the central bank of the Netherlands where he held a Senior Counsel position and was Substitute Secretary to the Board; he also contributed to the workings of the Legal Committee of the European System of Central Banks. Mr. Arda has consulted for over 70 countries, half of which on-site, including for countries as diverse as Egypt, Greece, Indonesia, Ireland, Jamaica, Kosovo, Myanmar, Portugal, Sri Lanka, and Ukraine. Most recently, he was the deputy head for the Switzerland Financial Sector Assessment Program (FSAP), and he led the FSAP crisis readiness teams for the United Kingdom, United States, and euro area. Mr. Arda is specialized in central bank governance and law, financial law, institutional frameworks for macroprudential policy and crisis management, financial safety net arrangements, crisis preparedness, and bank resolution regimes. Mr. Arda undertook his undergraduate at the Amsterdam Academy of Banking and Finance; he is a graduate of both the Amsterdam Law School and the Amsterdam Graduate School of Law of the University of Amsterdam, where he specialized in international economic and financial law. He is a regular speaker at international conferences and has been chairing Central Banking Publications’ course on ‘Central Bank Governance and Legal Risks’ since 2014.