SWAKOPMUND – The Chief Executive Officer of the Namibia Financial Institutions Supervisory Authority (Namfisa) Philip Shiimi said financial regulators in the SADC region should avoid dictating to entities they regulate by being on par with market developments to minimize their risks and to become leaders rather than followers.
Shiimi addressed close to 75 participants from various financial regulators in the SADC region attending the 31st biennial five-day meeting of the Committee of Insurance, Securities and Non-Banking Financial Authorities (CISNA) underway in Swakopmund. The CISNA meeting started on Monday and its main objective is to evaluate progress made with regard to the implementation of the CISNA Strategic Plan (2010–2015) and to discuss the activities of its various sub-committees. According to Shiimi there are huge expectations placed on their shoulders as financial regulators by the public that wants to see the creation of skills, capacity and the empowerment of people not only in Namibia, but in the entire SADC region to ensure their successful participation in the financial industry. “Therefore the importance of CISNA for SADC cannot be over-emphasized. We all know that the organ was established to assist with the establishment of an integrated financial market within the SADC region.
In view of that CISNA meets twice a year to share experiences and expertise. Shiimi says there is no doubt the strong foundations of cooperation the organ has put in place throughout its existence will facilitate further growth and expansion of the financial sector in the SAD region. “It provides a sound basis for all member regulators in our region to improve their regulatory systems to create a seamless financial system that addresses each other’s needs across our borders. I believe the financial sector is the engine and an important catalyst for economic growth. Thus your efforts as regulators should be geared towards creating a conducive environment for investment and economic growth,” Shimi said. Namfisa is hosts the CISNA meeting that seeks to achieve the organ’s vision by championing a process of collaboration, engagement and co-ordination between regional non-banking financial institutions and other important stakeholders.
CISNA was created by the SADC Protocol on Finance and Investment and comprises non-banking financial institution authorities, capital markets, collective investment schemes, insurance companies, retirement funds and providers of intermediary services. It also aims to reduce the potential for systemic risks, informing and protecting consumers, mobilising capital flows and contributing to prosperity in the SADC region. It was established in 1998 and reports to the SADC Committee of Ministers of Finance and Investment. CISNA members consist of 15 SADC member countries, which include Angola, Botswana, the Democratic Republic of Congo (DRC), Lesotho, Madagascar, Malawi, Mauritius, Mozambique, Namibia, Seychelles, South Africa, Swaziland, Tanzania, Zambia and Zimbabwe.
By Eveline de Klerk