Transcript Use Arial Narrow in grey

Financial Sector Code
Update
Town Hall Meeting
June 2013
Trevor Chandler
1
Current status
Code gazetted at end of 2012 – remains a key milestone for the
industry
Current focus is on:
 compiling guidance notes to support the legislation,
 defining the role of the FSC council and its secretariat(the
oversight body with representatives from govt, labour, community,
business and ABSIP
 The above 2 processes will be completed by end June 2013
 Formal launch event which will be attended by the Minister of
Finance and The Minister of Trade and Industry as well as “captains of
industry” is planned for 16 July 2013
2
Why is this BEE initiative different?
Aligns the national transformation imperatives to what we actually do
as an industry by inter alia:
 Promoting innovation in ensuring that a larger base of comsumer’s
end up in the savings pool
 Providing a business case for us to ensure that consumers are
trained on financial literacy
 Providing a platform to promote greater levels of infrastructure
development in areas of greatest need
 Attempts to ensure greater access of SMME’s to funding, thus
unlocking the massive job creation potential in this sector
 Most importantly the FSC represents a joint commitment by business,
govt, labour and civil society to work together for the greater good of
SA
3
What guidance notes?
Reporting during interim period:
 For reporting periods on or before 31/12/2012 companies can
report based on Generic code under certain conditions
 For reporting periods after 31/12/2012, companies must report on
FSC
 For reporting periods on or before 30/6/2013 companies can report
excluding new elements
 Consumer financial literacy
 Access to financial services for banking, short term and long term
insurance and reporting in complex structures
 QSFI’s
 Guidelines to support the roll-out of transformational infrastructure
spend requirements
4
Why functional review?
Deals with member reporting requirements to council
Facilitates process to deal with member exemptions from certain
elements
Provides clarity on approval process required to ensure compliance of
access products and certain other initiatives
Aimed at ensuring that the transformation efforts of the sector are
properly communicated to effected stakeholders
5