Supervision Group (SVG.)
Supervised, examines, analyzes and monitors the financial condition, performance and risk management of individual FI and overall FI System, establishes an early warning system including licensing and granting approvals or waivers to FIs, as well as taking actions with troubled or non-compliance FIs in order to ensure the safety and soundness of, and public confidence in, the financial institutions. There are 7 departments under the SVG as follows:
Planning and Development Department (PDD)
Formulates strategic plan of SVG, conducts annual on-site examination plan, enhances the effectiveness of supervision, examination and monitoring of financial institutions , develops supervision manuals in line with international standards, arranges training program to broaden knowledge and to enhance competency of examiners, handles as co-host to hold a meeting and seminar with international or domestic organizations for SVG and prepares annual action plan and budget in accordance with the BOT strategic objectives.
On-Site Examination Department 1, 2 and 3 (OE 1,2 and 3)
Examinies and monitors financial institutions’ risk management focusing on the significant activities in order to better reflect the financial conditions and risk profiles, as well as, evaluates their capital adequacy, loan loss provisions, earning performances, corporate governances, the compliance with laws and regulations to ensure the abilities to absorb potential losses under normal or under crisis.
Specialized Financial Institutions Supervision and Examination Department (SED)
Conducting on-site examination, off-site monitoring, and risk assessment, focusing on major transactions (Significant Activities: SA) of Specialized Financial Institutions (SFIs);
overseeing corporate governance practices, compliance with the BOT's regulations and risk management and control of the SFIs; as well as
granting approvals or waivers to the SFIs in order to ensure that each SFI’s mandate be practically carried out and to ensure the safety and soundness of the SFIs and the stability of financial system.
Risk Assessment and Modeling Department (RAD)
Risk Assessment and Modeling Department is responsible for supervising, examining and evaluating FIs' quantitative tools or risk model used in risk management and/or capital calculation for credit risk, market risk and operational risk e.g., Internal Rating Based (IRB) Approach, Internal Model Approach, Contingent Loss, Advance Measurement Approach (AMA), including the assessment of Bottom-up Stress Testing conducted by FIs. Besides, RAD undertakes the management of FIs’ data which are under the scope of SVG and ensures that the data are accurate, complete, up-to-date, non-redundant and standardized . This includes developing supervision working system to cater for the continuous changes in FIs supervision regulatory.
Financial Consumer Protection and Market Conduct Department (FCD)
FCD is responsible for formulating regulations and guidelines as well as supervising financial institutions, both on-site and off-site, on market conduct issues in order to achieve four basis consumer rights including 1) right to be informed 2) right to choose service/product freely 3) right to be heard 4) right to redress. FCD also collaborates with other institutions for an effective market conduct supervision.
In addition, FCD handles complaints on financial services regarding service providers under BOT regulation, and gives advices on financial topics.