SWAKOPMUND – Bank of Namibia (BoN) governor Johannes !Gawaxab has emphasised the importance of regional bodies in dissecting key lessons from crises, anticipating threats before they occur, and reinforcing regulatory frameworks to enhance preparedness.
Such bodies include the Council Meeting of the Committee of Insurance, Securities and Non-Banking Financial Authorities (CISNA), which forms part of the Directorate of Finance, Investment and Customs of the Southern African Development Community (SADC) Secretariat.
CISNA’s mandate is to ensure that the non-bank financial services’ regulatory frameworks are harmonised and comply with the best international practices, standards and principles as set by the relevant international standard-setting bodies.
“Domestic savings form the bedrock of economic growth, providing the resources needed for investment. Within the financial landscape, the non-banking financial institution (NBFI) sector holds considerable importance, accounting for a substantial portion of assets within the financial sector,” he stated.
!Gawaxab made these remarks at the 46th General Council Meeting of CISNA in Swakopmund last week, where he noted that in Namibia, the NBFI sector’s total assets stood at approximately N$366.2 billion as of December 2022, constituting about 68.8% of the financial sector’s total assets.
Additionally, the sector provides a base to offer diversified funding sources to address critical gaps, and CISNA has a key role to play in stimulating intra-regional investment and mobilising resources for economies.
The meeting, which was hosted by the Namibia Financial Institutions Supervisory Authority (Namfisa), served as a platform for the CISNA members to exchange insights, learn from one another, and enhance mutual understanding, while also underscoring collective responsibility to safeguard the financial stability of respective countries.
Erongo regional governor Neville Andre Itope acknowledged the importance of collective efforts, adding that working together can address the complex issues that industries face, establish best-practices, and ensure the well-being and stability of financial markets.
“In a world where economic dynamics are ever-evolving, commitment to fostering stability, consumer protection and financial inclusion within the financial systems must take centre- stage,” the governor indicated.
The Bank of Tanzania signed a Memorandum of Understanding with CISNA at the start of the five-day meeting.
- Nampa