The Financial Supervisory Authority (FME) held a press conference today to mark its conclusion of investigation of issues connected to the banking collapse. At this meeting the Director General of FME, Unnur Gunnarsdóttir, and Sigurveig Guðmundsdóttir, Managing Director of FME's Onsite Inspections and Securities division, among other things went over the number of cases which had been investigated, in how many cases complaints had been lodged with the Office of the Special Prosecutor, how many cases had been referred to this Office and how many cases had been concluded without further action.

In Amendment no. 75/2010 to Act No. 161/2002 on financial undertakings, the following paragraph was added to Article 19 on Good business practices and customs:

"A financial undertaking shall specify on its website the names and proportional holdings of all persons owning an interest of 5% or more in the undertaking."

Unnur Gunnarsdóttir, who has been acting Director General of the Financial Supervisory Authority since 1 March this year, has now been appointed Director General of the Authority. A law graduate of the University of Iceland, Unnur pursued graduate studies in both the UK and Canada. She previously served as the Financial Supervisory Authority's Chief Legal Counsel. 

The Financial Supervisory Authority is currently seeking applicants for the post of Director General. Further information may be found (PDF) here. (Only available in Icelandic)

The Board of Directors of the Financial Supervisory Authority (FME) has today given notice to Gunnar Þ. Andersen, the Authority's Director General, of its decision to terminate his contract of employment. This step is taken after careful consideration and following the Board's detailed examination of documentation and arguments in the case.

In response to the judgment of the Supreme Court of 15 February 2012, in a case involving the recalculation of a currency-linked loan, the Financial Supervisory Authority would like to make the observation that financial stability is not under threat.

A report containing information from the annual financial statements of pension funds for the year 2010 is available at the Financial Supervisory Authority's (FME) website. There is also an Excel file that contains statistical information from the report. The main results of the report are the following:

The Financial Supervisory Authority in Iceland published rules on remuneration policy for financial undertakings on 30 June 2011. The rules apply limits on variable remuneration. According to the rules, the aggregate of variable remuneration including deferred payments, which is granted to an employee per annum, shall not amount to more than 25% of the annual salary of the employee in question, exclusive of variable remuneration.

The Financial Supervisory Authority of Iceland (FME) has published tables containing the annual accounts of insurance companies with a licence in Iceland and the result of insurance classes in 2010.

The report discusses the rebuilding of the Icelandic financial system and the organisation and operation of the Authority, in addition to discussing the prospects of the future.

The Financial Supervisory Authority and the Central Bank of Iceland have concluded a new cooperation agreement that provides for closer and more systematic collaboration than stipulated in a previous agreement. The aim of the agreement is to promote a sound, effective, and safe financial system in Iceland, including payment and settlement systems. The Central Bank of Iceland and the Financial Supervisory Authority are required by law, according to Article 35 of the Act on the Central Bank of Iceland, no. 36/2001, and Article 15 of the Act on Official Supervision of Financial Activities, no. 87/1998, to conclude a cooperation agreement.

A report containing information from the annual financial statements of pension funds for the year 2009 is available at the Financial Supervisory Authority's (FME) webpage. There is also an excel file that contains statistical information from the report.

The Prime Minister, Minister of Finance, Minister of Economic Affairs, governor of the Central Bank and director of the Financial Services Authority signed an agreement establishing the committee on financial stability. This agreement is based on a previous agreement between the ministries and institutions from 2006 which addresses cooperation in the field of financial stability and financial crisis prevention.

A co-operation agreement on cross-border financial stability, crisis management and resolution between the finance ministries and other relevant ministries, central banks and financial supervisory authorities of Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway and Sweden has been signed. The agreement enhances preparedness to handle cross-border financial stability concerns in the financially integrated Nordic-Baltic region. It also establishes the first European cross-border stability group.

A new Act on insurance activities, No. 56/2010 (Lög um vátryggingastarfsemi), was recently enacted in Iceland to replace the earlier Act No. 60/1994. The Act covers direct insurance activities involving non-life insurance and personal insurance in addition to reinsurance of any kind; as before, supervision of insurance activities is entrusted to the Financial Supervisory Authority (FME).

The Financial Supervisory Authority in Iceland (FME) now has a new phone number: 520 3700. The fax number of FME has also changed and is 520 3727.

The Financial Supervisory Authority and the Central Bank of Iceland have decided to issue guidelines to financial institutions due to non-binding clauses linking loans to the exchange rate. The guidelines are as follows:

The FME Annual Report 2009 is now available in English. The report discusses the fall of the Icelandic commercial banks in October 2008, government measures taken as a result of the bank crisis and the significant changes that occurred in the Icelandic financial market in the wake of the economic collapse.

The Financial Supervisory Authority of Iceland (FME) has published tables containing the annual accounts of insurance companies with a licence in Iceland and the result of insurance classes in 2009.

The boards of directors of Byr Savings Bank and Keflavik Savings Bank have submitted a request for the Financial Supervisory Authority (FME) to take over the operations of the two savings banks after negotiations with creditors proved unsuccessful. The decisions posted by the FME on the disposal of the assets and liabilities of the savings banks reveal that Byr Savings Bank's deposits have been transferred to a new commercial bank, Byr hf., and the deposits held by Keflavik Savings Bank have been transferred to a new savings bank, Spkef Savings Bank. Both these financial undertakings have already been formally established and are wholly owned by the State.