The Financial Supervisory Commission (FSC) is inaugurated to be the sole statutory financial supervisor and is conferred upon the authority of supervision of all financial institutions including banks, securities and insurance companies on 1st July 2004.
From then on, the Bank stopped carrying out regular full-scope on-site examinations of individual financial institutions. To facilitate the implementation of its policies, the Bank retains the authority to conduct targeted examinations on issues related to monetary, credit and foreign exchange policies and payment system. In addition to targeted examinations, the Bank implements off-site monitoring to identify the weakness of individual financial institution and to grasp the whole picture of financial system in order to respond appropriately in a timely manner.
Pursuant to the Organic Act Governing the Establishment of the FSC, there is a coordination mechanism among financial supervisory authorities in place. The Financial Supervision Coordination Group which is composed of senior officers of the FSC, the Bank and other related financial authorities meets every quarter to coordinate and cooperate on issues of financial supervision, regulation and examination.