Gylfi Magnusson, Icelandic Minister for Economic Affairs says it has yet to be decided whether the country’s financial regulator (FME) and the Central Bank of Iceland will be merged.
It is now seven months since the former head of Finland’s financial regulatory authority advised Iceland to merge the two institutions.
The document from Kaarlo Jannari advised the Icelandic government to merge the FME and the Central Bank, or at least to bring them both under the same ministry. The document was made public six months ago, according to RUV.
While there is no word yet on whether they will be merged; the two institutions have already been united under the same government ministry.
So how does the regulator regulate the Central Bank?
If I get married, do you expect me to regulate my wife and publish the results?
Have we still not admitted to ourselves that our financial regulators are the problem, not the solution, and that allowing them to change the rules is like letting dangerous prisoners decide how tight their security will be, as well as who gets to supervise them.
Where did the intelligence tests go in our government?
Dr. Magnusson is this a fair play?
The EEA inspired separation of Finance Regulation from the Central Bank was to facilitate exploitive business interests. It was a process which resulted in aiding the loosening of strings on excessive money supply into an economy and abetting the general destructive state of economic insanity.
A system that could hear no evil or see no evil.
Putting it under the one CB roof is in theory, winding back the clock to a more directly responsible, prudently regulated and coherent approach.
The UK will do the same thing next year (it’s Tory policy)…