Financial Market Supervision Service
- Seeks to ensure stability and credibility of the financial market
- Maintains regular contact with financial market participants and their customers
- Investigates and settles disputes between consumers and financial service providers
- Applies innovative solutions and contributes to enhancing attractiveness of the financial market
Jekaterina Govina, Director of the Financial Market Supervision Service
The Financial Market Supervision Service is one of the largest structural units of the Bank of Lithuania. It consists of three departments – the Banking and Insurance Supervision Department, the Financial Services and Market Supervision Department as well as the Legal and Licensing Department. Our service brings together more than 100 experts who seek to ensure the stability, credibility and maturity of the financial system.
We aim to:
Strengthen the credibility and integrity of financial market participants as well as contribute to risk mitigation, by focusing prudential supervision on increasing the reliability and stability of supervised banks, insurance undertakings, credit unions, payment institutions and other financial market participants. In carrying out our supervisory mandate, we seek to engage financial market participants in responsible behaviour. To this end, we individually assess all potential risks arising from the activities of a particular entity.
Ensure ethical and transparent functioning of the Lithuanian financial market as well as prompt and efficient management of financial crime-related risks, by devoting particular attention to anti-money laundering and counter terrorist financing efforts and cyber security. In this field, we communicate and cooperate with other Lithuanian institutions and international authorities.
Create an advanced, innovation-oriented and sustainably developing financial market, by focusing on the improvement of the supervisory environment, increasing attractiveness of the financial market and reducing the administrative burden. Therefore, we keep in close contact with financial market participants and other institutions of the Republic of Lithuania in preparing draft legal acts – we initiate discussions and hold consultations as well as regularly inform them on potential changes in the regulatory environment of the financial market. We also pay significant attention to the digitalisation of supervisory measures and initiate regulatory changes promoting safe and innovative solutions.
Ensure that only licensed and reliable entities operate in the financial market, by assessing applications for authorisation and checking whether a particular company complies with the operational requirements set out in legal acts, as well as whether candidates for management positions are of impeccable reputation and meet the qualification and experience requirements laid down in legislation.
Consumers have to be sure that they can trust financial service providers and that their money entrusted with them is safe. Confidence in the financial market allows consumers to make more active use of the offered services, which in turn facilitates the choice between different service providers. It should be in the interest of financial market participants to treat their customers properly and to strive to provide high-quality, consumer-friendly, efficiently managed and innovative services.
- We aim to ensure that financial products and services meet customer needs and become more available.
- Seeking that consumers can make more informed decisions without any potential negative consequences in the future, we actively promote responsible financial behaviour and monitor whether information on particular financial services is properly disclosed. We investigate disputes between consumers and financial service providers and take necessary decisions (of a recommendatory nature) to settle them.
- We receive and analyse various warning signals as well as handle complaints regarding the provision of financial services, monitor trade activities in the market in financial instruments and prepare reviews (on pension funds, activities of issuers, etc.) for financial market participants and investors.
- To safeguard consumer interests, we regularly update relevant information on licensed institutions, financial brokerage firms and brokers, authorised to provide their services in the Lithuanian financial market, as well as disclose information on companies providing unlicensed services and block malicious websites offering quick investment gains.
- The Financial Market Supervision Service strives to properly represent consumer interests, by actively cooperating with other Lithuanian institutions operating in the field of consumer protection. Moreover, the Bank of Lithuania is a member of the European Commission’s financial dispute resolution network FIN-NET and maintains close links with the country’s consumer protection associations.