The Central Bank of Iceland is responsible for ensuring that the activities of entities that are subject to supervision under the Act on the Official Supervision of Financial Activities comply with the laws, regulations, rules and statutes that apply to such activities and that they are otherwise in accordance with proper and healthy business practices.
Financial Supervision Committee
The Bank's Financial Supervision Committee sets a policy on the application of administrative sanctions and coercive measures and shall provide an opinion on the strategic priorities of financial supervision. The Deputy Governor for Financial Supervision prepares a strategy proposal for the implementation of financial supervision and oversees its implementation once it has been discussed in the committee.
Financial Supervision reports
In its annual Financial Supervision report, the Central Bank explains how it carries out its legally mandated tasks in the field of financial supervision. It also provides information to supervised entities concerning key priorities in the current project timetable.
Regulated activities
The Central Bank of Iceland shall monitor the compliance of the activities of regulated entities with laws, regulations and rules or resolutions governing such activities, and their consistency in other respects with sound and proper business practices.
Supervision of anti-money laundering and combating the financing of terrorism
Parties engaging in activities, which could be used for money laundering or terrorist financing, are obligated to know the identity of their customers and their activities and to notify the competent authorities if they have a suspicion or knowledge of such illegal activities. The role of the Central Bank of Iceland (CBI) is to supervise these parties and ensure that they comply with the provisions of the laws.