On 29 March 2018, National Treasury of South Africa announced that with effect from 1 April 2018 the financial sector regulators (by which is meant the Prudential Authority and the Financial Sector Conduct Authority) came into operation and is established.
Deputy Governor Kuben Naidoo is appointed as the CEO of the Prudential Authority. Notably, the appointment of a Commissioner and Deputy Commissioners for the Financial Sector Conduct Authority is still to take place and is expected to take three months.
In addition, the Minister of Finance has, inter alia:
- in accordance with section 305 Financial Sector Regulation Act determined the commencement of different sections of the Financial Sector Regulation Act by notice in the Gazette. Of import, certain sections took effect on 29 March 2018 and on 1 April 2018, including amongst others, chapter 7 dealing with regulatory instruments, certain sections of chapter 8 which deals with licensing, chapter 9 dealing with information gathering, supervisory on-site inspections and investigations and chapter 10 dealing with enforcement;
- signed the Financial Sector Regulations which regulations, amongst other things, provide a process for the appointment of the Commissioner and Deputy Commissioners of the Financial Sector Conduct Authority; and
- published a determination in accordance with section 291 of the Financial Sector Regulation Actuntil 31 March 2021, the functions of the Prudential Authority in relation to medical schemes (and the associated powers and duties of the Prudential Authority in terms of the Financial Sector Regulation Act) must be exercised by the Council for Medical Schemes.
Copies of the relevant documents can be accessed here: