Iceland reg' and central bank merge
Financial supervision is part of the tasks carried by the Central Bank of Iceland since 1 January 2020. The merger of FME into the Icelandic state central bank follows the new Act on the institution passed in June 2019. It aims to increase the level of confidence, transparency and efficiency in the management of economic affairs and financial supervision in Iceland, according to a statement from the Central Bank of Iceland.
"The anticipation of the merger can be traced to a decision by the Council of Ministers on Economic Affairs and the restructuring of the financial system in October 2018 to begin the revision of the legislative framework on monetary policy, macroeconomics and financial supervision following extensive scrutiny and preparation," the statement reads.
The central bank governor, Ásgeir Jónsson, will take joint decisions with three deputy governors that were named at the end of December 2019 for a five-year mandate to supervise monetary policy, financial stability and financial supervision issues. Rannveig Sigurðardóttir and Unnur Gunnarsdóttir assume the positions of deputy governor for monetary policy and deputy governor for financial supervisory. Gunnar Jakobsson has been named as deputy governor for financial stability but will only take his new duties on 1 March 2020.