Some financial institutions de-registered due to non-compliance

01 Aug 2014 14:21pm

WINDHOEK, 29 JUL (NAMPA) - The Namibia Financial Institutions? Supervisory Authority (Namfisa) has adopted a zero-tolerance stance to non-compliance by financial institutions, which resulted in a decline in the number of institutions it regulates. Namfisa's Chief Executive Officer (CEO) Phillip Shiimi said on Tuesday during the launch of the authority?s Quarterly Statistical Bulletin that for the past four years the authority was regulating more than 600 financial institutions, but due to non-compliance some financial institutions were de-registered and the number dropped to 489 institutions. ?As a result, numerous interventions were made including fining, de-registration and calling for creative measures by those entrusted with the management of regulated entities,? he said. Currently, the Authority regulates and supervises 489 financial institutions and 2 837 intermediaries. These institutions collectively manage assets in excess of N.dollars 170 billion. ?It is gratifying to note that these interventions have increased awareness and caused regulated entities to operate within the ambit of the legislative framework for the greater good of the financial sector in Namibia,? he said. Shiimi explained that the authority has increased supervisory interventions due to an increase of the malpractices committed by certain unscrupulous players in the market. He then encouraged regulated entities to adopt the principles of treating customers fairly. The Namfisa boss encouraged consumers not to be despondent, but to approach the institution if they face challenges with financial institutions that do not want to adhere to legislative frameworks and that do not treat customers fairly. The information provided in the Quarterly Bulletin includes the performance and growth of financial institutions and trends in the financial sector. The information provided by the bulletin will aid users with financial information to understand and formulate opinions in respect to the risks and the direction the sector is moving towards. (NAMPA) MMT/ND