Financial Sector Regulation Act, 2017

 

To establish a system of financial regulation by establishing the Prudential Authority and the Financial Sector Conduct Authority, and conferring powers on these entities; to preserve and enhance financial stability in the Republic by conferring powers on the Reserve Bank; to establish the Financial Stability Oversight Committee; to regulate and supervise financial product providers and financial services providers; to improve market conduct in order to protect financial customers; to provide for co-ordination, co-operation, collaboration and consultation among the Reserve Bank, the Prudential Authority, the Financial Sector Conduct Authority, the National Credit Regulator, the Financial Intelligence Centre and other organs of state in relation to financial stability and the functions of these entities; to establish the Financial System Council of Regulators and the Financial Sector Inter-Ministerial Council; to provide for making regulatory instruments, including prudential standards, conduct standards and joint standards; to make provision for the licensing of financial institutions; to make comprehensive provision for powers to gather information and to conduct supervisory on-site inspections and investigations; to make  provision in relation to significant owners of financial institutions and the supervision of financial conglomerates in relation to eligible financial institutions that are part of financial conglomerates; to provide for powers to enforce financial sector laws, including by the imposition of administrative penalties; to provide for the protection and promotion of rights in the financial sector as set out in the Constitution; to establish the Ombud Council and confer powers on it in relation to ombud schemes; to provide for coverage of financial product and financial service providers by appropriate ombud schemes; to establish the Financial Services Tribunal as an independent tribunal and to confer on it powers to reconsider decisions by financial sector regulators, the Ombud Council and certain market infrastructures; to establish the Financial Sector Information Register and make provision for its operation; to provide for information sharing arrangements; to create offences; to provide for regulation-making powers of the Minister; to amend and repeal certain financial sector laws; to make transitional and savings provisions; and to provide for matters connected therewith.

 

 

Latest Developments:

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017), has been updated with Rules made by Ombud Council for Ombud for Financial Services Providers, as per Notice No. 5011 of GG50884, dated 28 June 2024.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017), has been updated with the Commencement of certain provisions in terms of section 63 of the Financial Sector Laws Amendment Act 23 of 2021 – Chapter 12A sections 166AA to 166AD; sections 166AF and 166AG; section 166AT; sections 166BC, 166BD and 166BE and section 166BH of the Act– effective 1 April 2024, as per Notice No. 4468 of GG50372, dated 25 March 2024.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017), has been updated with the Deposit Insurance Regulations, 2024 – effective 1 April 2024, as per Notice No. 4532 of GG50311, dated 22 March 2024.

 

Financial Sector Laws Amendment Act 23 of 2021 has updated and made Amendments to:

Banks Act 1990

Competition Act 1998

Co-operative Banks Act 2007

Companies Act 2008

Financial Institutions (Protection of Funds) Act 2001

Financial Markets Act 2012

Financial Sector Regulation Act 2017

Insolvency Act 1936

Insurance Act 2017

Mutual Banks Act 1993

South African Reserve Bank Act 1989

as per Notice No. 789, of GG45825, dated 28 January 2022

 

Financial Sector and Deposit Insurance Levies (Administration) and Deposit Insurance Premiums Act, 2022 (Act No 12 of 2022), Schedule: Amendment of Laws: Section 4 has updated and made Amendments to:

Pension Funds Act 1956

Banks Act 1990

Mutual Banks Act 1993

Financial Advisory and Intermediary Services Act 2002; and

Financial Sector Regulation Act 2017,

as per Notice No. 1512, of GG47696, dated 9 December 2022

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017), has been updated with the Commencement of certain provisions – Chapter 16 (sections 237 to 249) and Section 290 (Schedule 4) of the Act, as per Notice No. 3187 of GG48291, dated 24 March 2023.

 

The General Laws (Anti-Money Laundering and Combating Terrorism Financing) Amendment Act, 2022 (Act No. 22 of 2022), has updated and made Amendments to:

Nonprofit Organisations Act 1997,

Financial Intelligence Centre Act 2001,

Companies Act 2008, and

Financial Sector Regulations Act 2017 : (effective 31 December 2022 per proclamation 109 of 2022 section (a)) as per Notice No. 1532 of GG47802, dated 29 December 2022.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017), has been amended by the Financial Sector Laws Amendment Act 2021 (Act No. 23 of 2021): Section 58, as per Notice No. 789, GG45825, dated 28 January 2022 - together with Commencement of certain provisions Notice No. 2050, GG46288, dated 29 April 2022

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017), has been updated by the Amendment of Notice of Commencement: Notice No. 169 of 2018 GG41549, as per Notice No. 942 of GG46158, dated 31 March 2022.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) has been updated by the publication of the following: Financial Sector Regulations, 2018: Disestablishment of Transitional Management Committee of Financial Sector Conduct Authority in terms of Regulation 3(1), as per Notice No. 742 of Government Gazette 45007, dated 18 August 2021.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) has been updated by the publication of an Amendment of Notice of Commencement to Notice No. 1690 (29 March 2018) – Paragraphs (g) and (h) : Date from 1 April 2021 to 1 April 2022, as per Notice No. 257 of Government Gazette 44327, dated 25 March 2021.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) has been updated by the publication of Determinations in terms of Section 291 and 292 of the Act, as per Notice No. 1094 of Government Gazette 43810, dated 16 October 2020.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) has been amended by amending Notice R405 of 29 March 2018, as per Notice No. 850 of Government Gazette 43581, dated 5 August 2020.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) has been amended by a notice amending the commencement of Notice 168 of 29 March 2018, as per Notice No. 612 of Government Gazette 43371, dated 29 May 2020.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) has been amended by a notice correction of General Notice 169 of 29 March 2018, as per Notice No. 356 of Government Gazette 43131, dated 24 March 2020.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) has been amended by amending Notice R405 of 29 March 2018, as per Notice No. 196 of Government Gazette 42359, dated 29 March 2019.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) has been amended by a notice correction of General Notice 142 of 18 March 2019, as per Notice No. 657 of Government Gazette 42454, dated 10 May 2019.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) has been amended by a notice amending the commencement of Notice 1019 of 28 September 2018, Government Gazette 42677, Notice No. 1130, dated 30 August 2019.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) has been amended by a notice correction of General Notice 169 of 29 March 2018, as per Notice No. 142 of Government Gazette 42314, dated 24 March 2020.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) has been amended by the addition of Schedule 4 by Notice No. 169 of Government Gazette 41549 dated 29 March 2018.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017), has been updated by Regulations, Financial Sector Regulations, 2018 : Notice No. R. 405 of 2018, Government Gazette 41550 dated 29 March 2018.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) has been updated by Law Amendments as per Schedule 1 of the Insurance Act, 2017 (Act No. 18 of 2017), as per GG 41388, Notice No. 32 dated 18 January 2018.

 

The Financial Sector Regulation Act, 2017 (Act No. 9 of 2017) has been added to the website by Notice No. 853 of Government Gazette 41060 dated 22 August 2017.