Czech National Bank
The CNB is the central bank of the Czech Republic and inter alia is the supervisor of the Czech financial market and it also serves as the Czech resolution authority.
CNB supervises and lays-down the rules safeguarding the stability of the banking sector, the capital market, the insurance industry, pension funds, credit unions, bureaux-de-change and payment system institutions.
It systematically regulates, supervises and, where appropriate, issues penalties for non-compliance with these rules.
However the primary legislator is the Ministry of finance of the Czech republic. According to the Czech Constitution and the Act on the Czech National Bank (see attached), the CNB’s primary objective is to maintain price stability, by making changes to the monetary conditions using its instruments, especially key interest rates. The monetary policy decisions of the CNB Bank Board are based on the current macroeconomic forecast and an assessment of the risks to its fulfilment. On the Czech Republic’s entry into the euro area, the CNB will cede independent monetary policy to the European Central Bank.
Czech National Bank applies its supervisory powers by means of off-site and on-site supervision. Off-site surveillance is chosen with regard to its effectiveness in each specific case. Supervision is planned systematically and performed in accordance with internal policies to ensure internal consistency.
Czech National Bank generalises selected findings and expectations and publishes them in the form of official information or replies to frequently asked questions.
Supervisory reporting. Czech National Bank collect regular reports inquired by institutions and their consolidated groups. The reports defined by Czech National Bank and also by European Banking Authority contain both financial and non-financial data. Supervised institutions are obliged to provide correct data and in case of error must be institutions able to resend the adjusted data as early as possible.
Consolidated supervision. The risks regarding the particular institutions are not identified just on solo level however can arise at group level and hence can be affected the stability of the supervised institutions. The Czech National Bank cooperates actively with other (foreign) supervisors to ensure effective supervision within its area of competence and coordinated handling of crisis situations.
The Czech National Bank cooperates in the area of supervision with other European institutions (the European Banking Authority, the European Insurance and Occupational Pensions Authority and the European Securities and Markets Authority) on unifying supervisory procedures and creating conditions for close cooperation between home and host supervisors.
The supreme governing body of the CNB is the Bank Board, consisting of the CNB Governor, two Vice-Governors and four other Bank Board members. All Bank Board members are appointed by the President of the Czech Republic for a maximum of two six-year terms.
the Bank Board members are currently:
CNB Governor: Jiří Rusnok
CNB Deputy Governor: Marek Mora
CNB Deputy Governor: Tomáš Nidetzký
CNB Board member: Vojtěch Benda
CNB Board member: Oldřich Dědek
CNB Board member: Tomáš Holub
CNB Board member: Aleš Michl
source: www.cnb.cz