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04 January 2006

BENEFITS FOR ALL CUSTOMERS AND ENTREPRENEURS IN THE EU RETAIL BANKING MARKET

ISSUESBenefits for all customers and entrepreneurs in the EU retail banking market 28th WSBI Postal Savings Banks Forum 3Successful launch of the EU/US Retail Banking Forum 4ESBG responds to the Commission’s Green Paper on Mortgage Credit 6ESBG and WSBI mobilised to give more visibility to their corporate social responsibility involvement 8Business cooperation agreement approaches China and Italy 9Preparing for SEPA: the countdown has started 10Commission consults on implementing measures for the third Anti-Money Laundering Directive 11Islamic financial services: an exciting business opportunity 12

EVENTS AND TRAININGInternational Seminar on the sustainable growth of Microcredit 13Migrants Remittances: Mainstreaming their potential 14Entrepreneurial branch management in Uganda 15Seminar on the Organisation of Internal Control within Banking Institutions in Togo 16WSBI hosts launch of World Bank Global Economic Prospects (GEP) Report 16Seminar on Bank Strategies and Operational Decisions in a Competitive Environment in Thailand 178th Inter-American Forum of the Micro-enterprise in Bolivia 17WSBI/ESBG reception in Washington 18

CONSULTANCY NEWSBasel 2 for SMEs programme: last conferences successfully delivered 19EU and Chinese financial experts participate in a Round Table meeting in Shanghai 20

AFFILIATED ORGANISATIONSEUFISERV ready for the Single Euro Payment Area 21

IN BRIEFNew WSBI and ESBG members 21Appointment of Communications Manager 22Recent position papers and press releases 23

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ESBG and its members support more integrated European retail banking markets. Efficient, competitive and sus-tainable markets, which bring benefits to retail financial services providers and, even

more important, to customers. Therefore, restricting the integration of retail markets to the sole issue of consolidation of the banking industry and to growth opportu-nities through cross-border mergers and acquisitions would be a biased approach. It would totally ignore the customers’ perspec-tive, and the need to bring Europe closer to citizens. This has to be particularly borne in mind in the current political context, when Europeans feel, and express through their votes, that the EU is too remote from their concerns and does not bring tangible improvements in their daily activities.

Bridging the gap with European individu-als in the field of banking services supposes granting them appropriate access to finance and strengthening the proximity relation-ship which is at the heart of the confidence required for retail transactions. In that respect, building the European retail market on decentralised banking networks, with a wide geographic and product outreach and an in-depth knowledge of the local practices is one of the keys for success. The balanced, integrated retail financial market that the EU requires must therefore recognise that various banking structures and models are needed to satisfactorily serve the various categories of European clients, from proxim-ity banking, with a regional focus and wide networks, to international financial groups operating on a cross-border basis.

Furthermore, and of particular importance if Europe wants that all its citizens benefit

from a high-level of both economic com-petitivity and social cohesion, the diversity of banking institutions contributes to ensur-ing a presence of services all over European regions and provinces, thereby assuring access to finance for the largest number of European citizens and SMEs, even in the most remote areas, even for less sophisticat-ed clients. Promoting pluralistic retail finan-cial markets consequently needs to be read in a much broader perspective than the sup-port to commercial and financial interests. It must be viewed as a key element to support EU efforts in its fight against financial and social exclusion.

Savings banks again play a central role in fostering access to finance. The recent ESBG/WSBI studies on this topic1 clearly evidenced that proximity banking is the key channel to reach out to the largest number of European citizens and entrepreneurs. The studies also demonstrated that world-wide, chances of reaching full access are substantially increased in economies with a strong savings banks’ presence. Besides, through their long-lasting and multi-fac-eted socially responsible engagements, sav-ings banks throughout Europe initiate and support financial and social projects which contribute to widening access to financial services2. The EU consequently needs to develop a vision of integrated retail banking markets that is balanced between the creation of new business opportunities for financial services providers, the respect of the spe-cificities and strengths of the various market players and the need to bring added value to citizens and entrepreneurs. European sav-ings banks are determined to pursue their active partnership with EU and national decision and policy makers, to build, togeth-er, a pluralistic, integrated, competitive and sustainable European retail banking market, which benefits all European citizens.

Chris De Noose, Chairman of the WSBI-ESBG Management Committee

Benefits for all customers and entrepreneurs in the EU retail banking market

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1 News and Views #3 “Access to Finance Study – Measuring the Contribution of Savings Banks”2 See page 8 and 9.

Promoting pluralistic retail markets is a key element to support EU efforts in the fight

against financial and social exclusion.

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8th WSBI Postal Savings Banks Forum

Postal savings banks from Burkina Faso, Comoros, Côte d’Ivoire, Cro-atia, Czech Republic, Gree-ce, India, Ja-

pan, Romania, South Africa, South Korea, Senegal and Vietnam met in Brussels on 29-30 November to discuss about the future of postal savings institutions in a competitive and technology-driven market environment under the chairmanship of Japan Post. The Forum did focus first on “Introducing mod-ern payment services".

The payments industry has experienced a radical change in many economies with a significant shift from heavily paper-based to increasingly electronic procedures. Payment cards, ATMs and Point of Sale (POS) devices are part of the daily life of most consumers and this overwhelming trend is reaching even poor developing regions although at a lower pace. The participants had the opportunity of listening to speakers from Swedbank (Sweden), the Groupe Cartes Bancaires (France) and Eufiserv (Belgium) on various critical aspects related to the card services such as: issuance, acceptance, brand-ing, cooperation, etc. These presentations were then complemented by the experience of the postal savings bank in Croatia, which has managed to enter aggressively and suc-cessfully into the card business.

Recent progresses in the telecommunication sector are driving further innovations with the advent of novel payment devices such as mobile phone, internet, etc. Although for some postal savings institutions, multi-channel banking is still a distant concept, others have successfully tested this business approach as demonstrated by the Korean Post. Online channels have proven useful as a complement to the traditional channels and payments can be a major source of rev-enues for sustaining competition indeed. Recently, remittances have emerged as a real and underestimated business case, but

also a global phenomenon. According to the World Bank, recorded annual interna-tional flows amounts to US$ 225 billion in 2005 and the trend is upward. Many postal savings banks both from sending and receiv-ing countries are playing a remarkable role in facilitating remittance flows. But, they could further enhance their market position by providing account-based remittance serv-ices, as stressed by Eurogiro.

The Forum stressed that the full benefits of remittances remain undervalued and highlighted some major challenges both from business and policy perspectives. First, use remittances as a stepstone for expand-ing access to financial services both for the migrants in originating (and receiving) countries and the beneficiaries at home. Second, improve the development impact of remittance by reducing remittance costs and channelling remittance flows towards pro-ductive activities. Finally, breaking through the “last mile” for reaching out the benefi-ciaries.

The second item on the agenda was about “Institutional changes of postal savings banks”. The Forum highlighted that the traditional model of post office savings banks operating as a vehicle for mobilis-ing small deposits for funding government debt is not longer relevant. In general, many postal savings institutions have under-gone institutional changes over the past few years leading to the development of new organisational models and structures that stimulate efficiency and improve gov-ernance. Although reform processes are often complicated and lengthy because of conflict of interest between stakeholders (post, postal savings bank, savings banks, government, labour unions, competitors, clients etc.), the experiences of the Greek Postal Savings Bank and Banc Post, Romania, clearly demonstrate that postal savings insti-tutions can be successfully transformed into fully-fledged retail banks.

Contact: [email protected] or [email protected]

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Successful launch of the EU/US Retail Banking Forum

On the 14th of November 2005, WSBI/ESBG launched the EU/US Retail Banking Forum with its first conferen-ce. The two day event was opened by Commissioner Almunia and focused on the issues of supervision,

payments and capital markets regulation. Next year’s conference will take place in Washington in the autumn. Other events will also be organised in the context of the Forum, including the publication in the spring of 2006 of a WSBI/ESBG study comparing the EU and US retail banking markets.

Mr. Almunia, the European Commissioner in charge of Economic and Monetary Affairs, opened the Forum by stressing the impor-tance of strengthening the internal market and integrating financial services in order for Europe to remain globally competitive.

Introducing the Forum, Mr. De Noose, Chairman of the WSBI-ESBG Management Committee, spoke about how “globalisation has put the onus on one better understan-ding one’s neighbour, and on respecting his culturally determined needs”, adding that “in our increasingly diverse and complex world, the need for tailored and adapted responses to our local circumstances, beliefs and aspirations has never been stronger”. He then went on to explain that the Forum, the very first initiative of its kind, would bring stakeholders from the US and the EU together in order to foster a trans-Atlantic dialogue on issues of importance to all retail banks, whatever their business model or legal form and regardless of whether they are mainly internationally or domestically focussed.

Expressing himself on the debates that the Forum would promote Mr. De Noose decla-red: “It should be about going in the same direction on issues in which it makes sense to do so, as we each attempt to develop a system of regulation for our own markets that reflects the realities of life in a more globalised world while also meeting the needs and ambitions of the actors in those markets at the local level.”

The three topics that were the focus of this first conference of the EU/US Retail Banking Forum were supervision, payments and capi-tal markets regulation.

The session on supervision was kicked off with speeches from Mr. John M. Reich, Director of the US Office of Thrift Supervision and Mr. Patrick Pearson, Head of Banking & Financial Conglomerates, European Commission, the latter replacing at short notice Mr. José María Roldán, Chairman of the Committee of European Banking Supervisors (CEBS), who arrived on time for the debate that ensued in the panel on supervision. Panellists inclu-ded Mr. Scott Albinson, Managing Director, Office of Thrift Supervision, Mr. Michael G. Martinson, Senior Adviser, Division of Banking Supervision and Regulation, Federal Reserve and Mr. Peter D. Hirsch, Project Manager, Division of Supervision and Consumer Protection, Federal Deposit Insurance Corporation (FDIC).

From the speeches and discussion, it was clear that the general debate on supervision on both sides of the Atlantic seems to have shif-ted from one focus-sed on supervisory structures to one on outlining the practical means which can make the existing tools and frameworks work effectively in a new, complex prudential environment. Another issue which was much discussed was that of how to ensure a level playing field between small, local banks and internationally-active banks in the areas of Basel II and prudential supervision.

The session on payments was introduced with speeches from Mr. Mark W. Olson, Governor in the Board of Governors of the US Federal Reserve System and Ms. Gertrude Tumpel-Gugerell, Member of the Executive Board of the European Central Bank. The payments panel included the participation of Mr. David Deacon, Head of Unit, Internal Market and Services DG, European Commission and Ms. Priscilla Holland, Senior Director, International and Corporate Payments, NACHA (The Electronic Payments Association).

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The lively debate that followed covered a number of issues, including discussing what were the determining factors and forces leading towards a single payment area in the US, and what are the demonstrated ver-sus expected benefits of a single payments area to customers. Panelists also discussed the extent to which the EU and US payment systems are comparable, as well as what are the objective factors that could lead to the conclusion that a single payments area is more conducive to prompting innovation in payments products and services.

The session on the regulation of capital mar-kets began with speeches from Mr. Charles M. Horn, Senior Partner, Mayer Brown and Mr. Alexander Schaub, Director General, Internal Market and Services DG at the European Commission. The panel was moderated by Mr. Karl-Burkhard Caspari, Chairman, Market Transparency Expert Group, Committee of European Securities Regulators (CESR); Vice-President of the German Financial Services Authority (BaFin) and included Dr. Heiko Beck, General Counsel, DekaBank, Mr. Sabino Fornies Martinez, Policy Desk Officer, Securities Markets, Internal Market and Services DG, European Commission and Mr. Ludovic Aigrot, Director European Affairs, Euronext.

Panelists agreed that the main objectives being pursued currently in capital markets in both the EU and the US are to improve the functioning of the financial markets as well as increase the protection of inves-tors. Panelists however highlighted that a

number of rules are still specific only to one of the two jurisdictions. Both EU and US participants also agreed that competition between different types of markets and different types of orders are something that regulators must deal with on both sides of the Atlantic, in their efforts to create a deep, liquid market and to provide adequa-te consumer protection.The speeches given at the conference have been published on the WSBI/ESBG web-sites, and the proceedings of the conference will also be available there shortly.

The WSBI/ESBG in partnership with its US Member, America’s Community Bankers, will continue to organize and host yearly con-ferences and workshops in the context of the EU/US Retail Banking Forum. The next conference will take place in Washington on the 16th of November 2006.

Future such events will be communicated widely. Other initiatives developed in the context of the EU/US Retail Banking Forum will also be communicated, including the forthcoming WSBI/ESBG publication compa-ring the US and EU retail banking markets which will be published in the spring of 2006.

Mr. De Noose gave conference participants an insight on some of the study’s findings, revealing for instance that the EU and US retail banking markets share a number of common characteristics. He pointed out that both markets have three major types of credit institutions, namely commercial banks, savings banks and cooperative banks, indicating that in both the US and the EU there is a common need from banking cus-tomers for pluralism in banking business models. He revealed also that a number of indicators show that in both markets strong local market representation is necessary, if not mandatory to be a viable competitor in retail banking.

Contact: [email protected]

EU/US Retail Banking Forum ... continued from page 4

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In July 2005, the European Commission (EC) pub-lished its Green Paper on Mortgage Credit in the EU. The Green Paper presents the EC’s first views on gen-eral questions relevant for the discussion on assessing

the integration of EU mortgage markets and specifically, on the 48 recommendations submitted in December 2004 by the Forum Group on Mortgage Credit.1

The Green Paper is an important step in the overall EC’s strategy designed to con-sider possible action in the area of mortgage credit. Other steps taken by the EC are the consideration of the findings of a study com-misioned to an external consultant – London Economics (LE) – on the costs and benefits of further integration of mortgage markets in the EU and the organisation of a public hearing planned for 7 December 2005.

As part of its active contribution to the EU debate, the ESBG drafted a position paper to respond to the EC’s Green Paper. The Green Paper contains a general introduction in which the EC explains the importance of mortgage credit in the overall EU economy (at the end of 2004, the value of outstand-ing residential mortgage loans represented about 40% of the EU GDP). Furthermore, the Green Paper considers the most impor-tant question of whether a business case for further integration can be demonstrated before the EC takes any measure in this area. The ESBG feels that proving the clear business case by assessing the cost and ben-efit of further integrating mortgage credit markets is the right approach in light of the EC’s commitment to its better regulation principles.

When assessing the merits of possible EU action in the area of mortgage credit, it is necessary to first take stock of the current level of integration in the different EU mar-kets. The Green Paper describes these EU markets as not very integrated, notably in relation to the range of available products and cross border mortgage activity. While the Green Paper rightly recognises that

important differences in mortgage and hous-ing markets reflect Member State’s legal, economic and cultural traditions, the ESBG believes that key factors such as proximity to the customer (along with consumers’ trust and confidence which arise with proximity relationships) and the national/local exper-tise of lenders in a specific mortgage market also play a considerable role, particularly in light of the inherent product characteristics and nature of mortgage credit products.

Other parts of the Green Paper also addressed in the ESBG response are the find-ings of the LE study on costs and benefits of further integration of EU mortgage mar-kets, the EC’s questions related to specific policy recommendation submitted by the Forum Group on Mortgage Credit and the mortgage credit funding part.

The ESBG’s paper identifies numerous short-comings of the LE analysis. In particular, the ESBG criticises the definition of full inte-gration used throughout the LE study (full integration is defined as “same mortgage products made available across all Member States”). ESBG members deem that mort-gage products are not homogeneous prod-ucts and they should not become homog-enous as it would reduce customer choice. The ESBG also believes that the methodol-ogy used by LE is questionable, notably regarding the product availability index and the estimation of the key mortgage vari-ables. Overall, the ESBG fears that the net benefits of further integrating EU mortgage markets over the next 10 years, estimated by LE to be €94,6 billion equal to 0.89% of EU GDP in 2005, is too optimistic and not founded on clear evidence.

Further, the ESBG responds to the ques-tions outlined by the EC addressing the Forum Group recommendations in the area of consumer confidence, legal issues, and mortgage collateral and funding. The Green Paper includes numerous questions regarding consumer protection issues. For example the EC asks what type of informa-tion requirements are necessary to enhance consumer confidence or if compulsory and standardised consumer advice is needed.

ESBG responds to the Commission’s Green Paper on Mortgage Credit

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1 See News & Views 2 "Plans for further integration of mortgage markets".

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In its response, the ESBG emphasises the fact that more than 3.800 EU lenders imple-ment the European Code on pre-contractual information on home loans, which aims at providing consumers with the adequate information, enabling them to compare cross-border mortgage offers through the European Standardised Information Sheet introduced by the Code. In relation to legal aspects and mortgage collateral questions, the ESBG supports some of the proposals outlined in the Green Paper, for example the need to ensure non-discriminatory access to credit databases in cross-border lending.

The ESBG furthermore addresses in some

detail the questions related to mortgage credit funding. As suggested by the Forum Group, the EC plans to look closely to the merits of improving liquidity and efficiency of mortgage credit funding mechanisms (i.e. by enhancing an EU secondary mortgage market) and for that purpose, a special working group of experts in the fund-ing area will be set up in the near future. The ESBG welcomes this proposal and has expressed its interest in actively contribut-ing in this new working group. To this end the ESBG has submitted a list of issues that deserve further analysis by such a group.


Mortgage credit ... continued from page 6

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Savings banks: the retail gateway to a global market. Driving sustainable development

20-22 September 2006 in Kuala Lumpur, Malaysia.

Mark the date for the 21st WSBI World Congress, co-organised with its Malaysian Member: Bank Simpanan Nasional (BSN).

The Congress will gather financial, economic, social, political and civil society profession-als from all over the world to contribute their perspectives on the current and upcoming savings and retail banking developments and to debate the forthcoming opportunities and challenges for proximity banks and their clients in a globalised society.

Stay informed by sending an e-mail to [email protected] or visit www.savings-banks.com

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During the last months, ESBG and WSBI launched a number of activities whose common objective was to give more visibility to the strong involvement of sav-ings banks in the field of corporate social responsi-

bility (CSR). CSR is business contribution to sustainable development, and covers their active participation in different fields: human rights, human resources, relations with clients, suppliers and other stakehold-ers, corporate governance, environment and contribution to community and society. CSR is increasingly viewed, across the world and across all business sectors, as a strategic issue to ensure the development of a sustainable

world, and to enhance business competitive-ness. It is high on the policy priority lists of a number of international organisations, who seek to increase businesses’ awareness and involvement.

ESBG and WSBI, together with their Members, are therefore keen to strengthen their contribution to EU and international related debates, in order to promote the long-lasting commitment of savings banks to the communities in which they operate, and to be identified as one of the references for socially responsible banking activities and professional practices.

This collective commitment in favour of CSR received full support from both ESBG and WSBI Boards, and was reflected with the setting up of a CSR Committee (tak-ing over from the Commitment to Society Committee), chaired by Mr. Marchettini from the Italian ESBG member ACRI.

In October 2005, ESBG published its Report «Savings Banks’ socially responsible activi-

ties, a wealth of experience»1. Based on ESBG Members’ experience, it gave an over-view of the wide-range of CSR policies and projects launched by savings banks across Europe.

The Report reflected the strong convergence of CSR approaches between European sav-ings banks. Commitment to society activi-ties (improvement of living conditions, sup-port to greater social cohesion, education projects etc) are an integral part of their identity and one of their distinctive fea-tures amongst financial players. However, it is nowadays only one of the pillars of their broader, balanced and comprehensive CSR approach, which tend to increasingly integrate CSR principles in business activi-ties and cover a whole range of fields, such as microcredit, transparency and corporate governance measures, workforce training and life-long learning, targeted actions to support SME clients business, CSR raising awareness activities, introduction of ethical criteria in financial products, etc. A number of these fields are new to savings banks and their experience is somehow limited, for example the preservation of the environ-ment. Contributions in this area will grow with time and the document will evolve, along the experiences of ESBG Members.

With this document, ESBG aimed at raising awareness of all EU interested parties on the specific CSR achievements of savings banks, in the context of the upcoming European Commission’s Action plan on CSR. It also sought to evidence further the specific role played by savings banks on European retail banking markets and their crucial contribu-tion to banking pluralism, for a rich and diversified offer of financial services to all types of customers.

Savings banks’ CSR involvement is an ongo-ing process and regular updates of the Report will be published, with further exam-ples of ESBG Members’ achievements. To ensure the transparency and easy access to all this information, a dedicated website will be shortly set up.

ESBG and WSBI mobilised to give more visibilityto their corporate social responsibility involvement

1 Available at www.savings-banks.com or by sending an e-mail to [email protected]

ESBG and WSBI are keen to be identified as one of the references for socially responsible banking

activities and professional pratices.

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ESBG took an active part to the UK Presidency Conference Investing in the future: a European Conference on CSR and the finance sector, which took place in London on 1 and 2 December 2005, and gathered more than 300 people from the European finance sector, EU institutions, NGOs, representatives of Member States etc. Mr. De Noose, Chairman of ESBG/WSBI Management Committee, was one of the speakers in the session “Exclusion, Poverty and Development”.

This was a major opportunity to profile fur-ther savings banks as key CSR players on the European scene, and underline in particular their specific achievements to support the fight against social and financial exclusion and their crucial position to widen access to finance in Europe.

Initiatives were also taken on the WSBI side, to raise awareness and encourage Members

to contribute to ESBG/WSBI CSR work. Introductory presentations on the CSR concept and ESBG/WSBI activities were made at the 2005 Africa and Asia/Pacific Regional Groups. A dedicat-ed workshop on Proximity banking and social respon-sibility was organised at the September 2005 WSBI General Assembly in Lima, where experiences from Thailand, Peru, Spain and Chile were shared.

As a follow-up to these meetings, WSBI Members were invited to provide exam-ples of their achievements to enrich sav-ings banks’ contribution to the general CSR debate, and to serve as a basis for a WSBI version of the ESBG Report on CSR experi-ences.


Corporate Social Responsibility ... continued from page 8

Business cooperation agreement approaches China and Italy

Operational ties between China and Europe continue to increase, also in the sav-ings banks sector, as dem-onstrated by the signing of a cooperation agreement at the end of September 2005 between the Industrial

and Commercial Bank of China (ICBC) and three members of the Italian Savings Banks Association (ACRI): Cassa di Risparmio di Cesena, Cassa di Risparmio di Volterra and Banca di Romagna. ICBC and ACRI are both members of WSBI.

The main focus of this agreement is a Euro Clearing Service between Europe and China

from a euro account opened with the Frankfurt branch of ICBC to any one of the 21,000 branches that ICBC maintains in China. ICBC also offers its Italian partners a suite of further services ranging from consultancy, to the search for Chinese partners interested in joint ventures with Italian companies, trade finance products and services etc. ACRI and the ESBG/WSBI have been actively involved in bringing together the parties to the coop-eration agreement, which is a concrete dem-onstration of the benefits that can be drawn from the networking and relationship-build-ing opportunities presented by ESBG/WSBI to its members.


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The 1st January 2008 is just 24 months away. Few people will dispute this fact. Still, almost as few people within the European banking indus-try have begun in earnest to prepare their products, back office and infrastructure in

order to support the 3 core pan-European payments instruments the banking industry committed to introduce on that date: a pan-European credit transfer, direct debit, and payments with cards.

Yet payments and related income represent up to 40% of banks’ revenues, and almost a similar proportion of their costs. How banks

respond to the changes brought about by the introduction of the Single Euro Payments Area (SEPA) between 2008 and 2010 will therefore definitively define their ability to compete in the future, at local, regional, or European level. It is therefore essential for savings and retail banks to begin formulat-ing answers to – at the minimum – questions in the following areas:

1) Relationship management:

How to communicate with customers about SEPA? The pan-European payment instruments will bring change to long established customer practices and habits. Whereas the utmost is being done when defining the new payment schemes that most changes are perceived as benefits, a migration and adjustment phase will still be required, being well aware that most customers have not expressed demand for such new payment instruments.

How to educate and effectively support customers during the transition phase from national payment systems to pan-

European ones in order to minimise potential disruption, negative impacts on STP-rates, and mainly customer dissatis-faction: accurate prior information and prompt on-line support will be necessary.

To define the right customer messages, and identify information and support needs, an up-to-date, deeper understand-ing of customer needs in terms of pan-European payment services will be required: this may result in new customer segmentations (e.g. for SMEs in function of their type of activity and local or regional buying and selling patterns), a useful step to review the payment product portfolio.

2) Product management:

How to price the mix of pan-European payment instruments to different custom-er segments? Is there a need to reprice payment services based on national payment instruments during the transition phase (2008 to 2010)? What value added services to introduce, for which new customer segment?

3) Strategy for outsourcing, infrastruc-ture, alliances and co-operation:

What positioning to pursue within existing and new payment infrastructures (clearing systems, card schemes): share-holders and/or user, in order to optimise influence?When to begin disinvesting in exiting clearing system(s)?With whom to partner for achieving economies of scale in processing?

From the beginning, the ESBG has been very closely involved in this process. We will continue to follow its evolution and will develop the necessary initiatives to assist our members in finding the correct answers to the abovementioned questions.


Preparing for SEPA: the countdown has started

The pan-European payment instruments will bring change to long established

customer practices and habits.

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Directive 2005/60/EC on the prevention of the use of the financial system for the pur-pose of money laundering and terrorist financing, commonly known as the third EU Anti-Money Laundering Directive, was published in the European

Union’s Official Journal on 25 November 2005. The Directive will enter into force 20 days thereafter, by 15 December 2005, and will repeal and replace the existing 1991 Anti-Money Laundering Directive, as amended in 2001.

By 15 December 2007, Member States shall bring into force the laws, regulations and administrative provisions necessary to com-ply with the Directive. Member States will furthermore be obliged to communicate to the Commission the text of those provisions together with a table showing how the pro-visions of this Directive correspond to the national provisions adopted.

The Directive foresees that the Commission may adopt implementing measures in order to take account of technical developments in the area of financial crime and ensure a uniform implementation of the Directive. As part of this process, the Commission invited industry to comment on whether further guidance would be welcome on a number of technical issues related to the Directive.

The ESBG responded to this consultation highlighting the need for the risk-based approach, which lies at the heart of the Directive, to be respected by any potential implementing measures. Any implement-ing measures should therefore guarantee enough flexibility so that credit and financial institutions can implement the obligations set in the Directive and apply their anti-money laundering measures in accordance with the risk involved in each situation.

The ESBG would however welcome further guidance with regards to Politically Exposed Persons (PEPs). In the absence of official lists or clear guidance, credit institutions currently face great uncertainty as to which persons should be regarded as being politi-cally exposed and therefore be subject to enhanced due diligence. Likewise, credit institutions would also welcome clear indi-cations as to which countries do not meet the requested minimum standards.

Further to assessing the responses to the consultation, the Commission will decide whether implementing measures should be adopted. As provided in the Directive, the first implementing measures regarding low risk situations and persons carrying out a financial activity on an occasional or very limited basis may be adopted by 15 June 2006.


Commission consults on implementing measures for the third Anti-Money Laundering Directive

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More and more financial institutions offer products that are in line with the Islamic religion; be it in tra-ditionally Islamic countries such as Pakistan or in coun-tries with a strong Islamic community, such as the

United Kingdom.

It is estimated that the current market for Islamic financial products exceeds USD 260 billion. It is forecasted to grow at 12-15% per year over the next decade. Market pen-etration is estimated to grow from 20% to 50 or even 60% of the world’s 1.2 billion Muslims.

What differentiates Islamic financial services (IFS)?

The basic principle of “Shariah”-compli-ant services is that no interest should be charged or paid, but that every financial transaction should consist of a fair profit or loss sharing between the person that gives the money (a financial institution) and the person that invests it in a project (the client). Financial transactions should avoid excessive risk, which is considered as gambling, as well as forbidden activities or products, such as arms or food products based on pork meat. Even if no uniform definition of Islamic financial services exists, a common element is the internal supervision by a company Shariah supervisory board. This board does not replace the classic audit functions, but is an extra organ.

It will be clear from the above that it is impossible to offer a traditional savings account, where the client knows the interest in advance. Instead, the IFS savings accounts offer all kinds of rewards.

Let’s take a closer look to three major IFS

products on the asset side of the balance sheet:

Musharaka: A lender (a financial institution) and an entrepreneur provide capital for a project. Both are involved in the manage-ment of the project and share profits or losses.

Murabaha: The bank buys goods and sells them later at an agreed price, which includes the principal plus an agreed mark-up to the entrepreneur. This same logic goes for Ijara transactions, where the financial institution buys assets and leases these to an entre-preneur for an agreed period of time and for a pre-agreed rental payment, much like leasing contracts. These Murabaha type of transactions represent 75% of all IFS.

Mudaraba: This is a kind of a trustee finance contract, where the financial institution pro-vides funds and the client provides its exper-tise and labor. In case of losses, the bank loses its money; the client loses the effort provided.

Noteworthy is also the fact that credits are mostly packaged as capital participa-tions, which means that the accounting and tax treatment is completely different from traditional banking products. Finally, since banks are involved in a lot of projects (cfr Mudaraba) a time-consuming follow-up is needed.

We are convinced that there is a huge poten-tial for Islamic financial services. However, financial institutions should do a thorough analysis first. In this context, the World Savings Banks Institute will soon organise an event to learn more about Islamic financial services and to exploit this promising busi-ness opportunity.


Islamic financial services: an exciting business opportunity

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WSBI and FEPCMAC (Federación Peruana de Cajas Municipales de Ahorro y Crédito) have contributed to the 2005 United Nations Year of Microcredit by organising a seminar dedi-cated to the “Sustainable

Growth of Microcredit” in Lima, Peru on 28-29 September at the occasion of the WSBI General Assembly.

Mr. De Noose, Chairman of the WSBI-ESBG Management Committee, explained that savings banks and socially committed retail banks have a great potential to contribute to the sustainable growth of microfinance thanks to their sound management princi-ples (cost control and economies of scale), geographic proximity, accessibility of their products, and their commitment to corpo-rate social responsibility.

Mr. Francisco Pelucio Martins, Vice President and Mr. Mario Maia, Consultant from Caixa Economica Federal (Brazil) presented their views on the Latin American Microcredit Industry. Brazil is a country with huge oppor-tunities, given its dimensions and social real-ity and Caixa Economica Federal is develop-ing several initiatives to offer appropriate financial services to all Brazilians. The flag-ship project is “Caixa Aqui”. In essence, this project means that the bank has multi-plied its distribution points offering simple and accessible products, such as current accounts, payment facilities and microcred-its. After the presentation, Peruvian savings banks from Arequipa, Santa and Sullana gave their views.

The next session was dedicated to Capital Markets and Microfinance. Dr. Richard Webb Duarte, Director from San Martin

de Porres University, gave an overview of the challenges of entering into the capi-tal markets for microfinance institutions. It is clear that one of the ways to achieve financial independency, expand operations and assure long-term sustainability is capital market borrowing. Peruvian savings banks from Arequipa, Tacna and Trujillo also com-mented this topic.

Mr. Alberto Didone, Microfinance Expert from the World Bank, participated in a session about the Key Aspects for the Sustainable Growth of Microfinance Providers. He explained that given its matu-rity, the Latin American market is now expe-riencing a highly competitive environment, where players are concentrating in three aspects:

innovation (new and adapted products, up-grading technology and new method-ologies), efficiency and growth (geographic expansion, mergers and alliances).

Mr. Peter Langkamp, Director, Sparkassen-stiftung für internationale Kooperation (Germany), pointed out that microfinance requires professionalism, discipline, effi-cient organisational structure and proper IT systems. Ms. Ranjana Kumar, Chairperson, National Bank for Agriculture & Rural Development (India) presented the Indian approach to microfinance which is dominat-ed by self-help groups that are then linked to banks. This model has proven to be suc-cessful not only for its high repayment rates, but moreover because it develops a savings and “financial” culture among people.

Finally the Peruvian savings bank of Piura presented its views on the topic.


EVENTS AND TRAINING

International Seminar on the sustainable growth of Microcredit

14

More and more people migrate, motivated by employment, education, freedom and other opportu-nities. Migrant remittances - i.e. the part of migrants’ revenues that they sent back on a regular basis to their

country of origin - worldwide are conser-vatively estimated to total US $ 225 billion annually, reaching twice the amount of official development aid and affecting 500 million people.

Latin America and the Caribbean receive the lion share of remittances with US $ 46 billion. Remittance transfers are recognised as a significant, fast-growing and stable development factor. However, only circa US $ 93 billion of the total figure pass through formal channels and close to 80% of the remittances are used for consumption rath-er than for investments. It is thus important, to increase the channeling of these transfers through the banking sector and to encour-age the productive investment.

This was the objective of the conference organised by the WSBI from 29 November to 1 December in El Salvador. The confer-ence, which was set up in cooperation with WSBI Member FEDECREDITO with the spon-soring of the Central American Bank for Economic Integration, the Banco de Reserva of El Salvador and the Banco Multi Sectorial de Inversión, hosted 120 participants from Latin and Central America, plus from Spain.

The conference highlighted that over the last 5 years, North and Latin America along with Spain have been setting some trends in remittance transfer services. Examples from Bansefi in Mexico, Caixa de Cataluña in Spain, Caixa Federal de Brasil, Banrural in Guatemala, showed the ability of these banks for better understanding their cus-

tomer’ needs (remitters and recipients) for accessing market information, banking ser-vices, transaction information and to redress procedures. These banks presented their strategies and policies including accessible products and services adapted to the level of integration of the new resident: from simple remittance service to housing finance products in the country of origin including procedures for sending remittances via SMS and accessing ATMs through digital print.

The conference stressed the need for more capillarity and consequently the extension of the network through increased participa-tion of and partnerships between parties, such as microfinance institutions, coopera-tives, credit unions, and savings banks but also Money Transfer Offices. Along this line, competition appeared to be one of the means to reduce costs. Regarding the fact that remittances are often used for consumption, speakers at the conference stressed that it was already a success that remittances improve living conditions.

Moreover, though benefits are concentrated at the individual or household levels, one should not under-estimate the spill-over effects into extended families and the local economy. Last but not least, banks can undoubtedly increase savings opportuni-ties and facilitate long-term investments, but this can only work if it is accompanied by a general improvement in the overall investment climate. The conference was the occasion to remind that remittances are not only a matter of money but also a matter of people and social development, and that savings banks as socially responsible institu-tions feel specifically committed to enhance remittances as an instrument for social and financial inclusion.


Migrants Remittances: Mainstreaming their potential

EVENTS AND TRAINING

15

Customer relationship management was the theme of the seminar that was organised by the WSBI from 6 to 8 September in Kampala, Uganda for the members of the Association of Savings Banks of East Africa (ASBEA).

The seminar was part of the training pro-gramme of ASBEA and was sponsored by the Federation of French Savings Banks (FNCE). Participants – mainly branch manag-ers and sales officers came from the three ASBEA institutions: PostBank Uganda who was also the host, Kenya Post Office Savings Bank and Tanzania Postal Bank.

The objective of the seminar was to empha-sise the need to build a customer culture among the branch staff and to learn how to improve client relationships. Most partici-pants acknowledged the need to change the attitude of their staff towards customers, and to switch from passiveness and indif-ference to interest and respect. Accordingly, the participants were eager to learn how to retain clients and acquire new ones with the clear objective to increase business and profitability.

Speakers at the three day seminar came from the French savings banks, Bank of Valetta (Malta) and WSBI. They abundantly illustrated the topics with presentations, business cases and exercises providing the participants with communication and sales techniques. Examples of successful branch organisation, communication campaigns and quality policy were also presented and debated by the participants who shared their own experiences and solutions. The exchanges were very rich and useful.

At the end of the seminar, participants brainstormed on the changes they were going to promote and implement in their institutions or branches. They showed eager-ness to pass on to their staff and colleagues all tools and techniques. Some participants were even thinking of changing the branch concept to highlight more the internal sales functions and the reception desk. Some also noted that to increase sales efficiency all

staff should make an effort and know the banks’ products and those of the competi-tion on their fingerprints. Participants were sensitive to the fact that selling like commu-nicating is a permanent effort that implies everybody in the branch. They agreed that learning to seize opportunities for cross-sell-ing was a critical exercise. Eventually, some participants felt they had to profile them-selves as financial advisers rather than just service providers.

It was agreed to put in place follow-up pro-cedures to support participants’ willingness to implement lessons drawn from the semi-nar. This follow up will be set up in coopera-tion with the human resource representa-tives from each organisation and take place early December 2005 and early June 2006 to evaluate the change operated over the year in terms of customer care policies.


Entrepreneurial branch management in Uganda

EVENTS AND TRAINING

Selling like communicating is a permanent effort that implies everybody in the branch.

16

As a follow-up to the conclu-sions of the 2004 Regional Group seminar in Gaborone (Botswana) the WSBI organ-ised on 17-20 October in Lome (Togo) a seminar on the “Organisation of Internal Control within

Banking Institutions”. The seminar bene-fited from the sponsoring of the French National Federation of Savings Banks (FNCE) and the technical assistance of Euro-Sofac, a subsidiary of the European Savings Banks Group specialized in supporting exporting SMEs.

Primarily organised for WSBI members in the West African Economic and Monetary Union (WAEMU), the seminar noticed the atten-dance of 26 participants from eight institu-tions, namely five members: the Poste (Benin), Caisse d’Epargne et des Chèques Postaux (Côte d’Ivoire), MauriPost (Mauritania), the Poste (Senegal), Caisse d’Epargne (Togo) and three non-member local banks: Banque Togolaise de Développement, the Union

Togolaise de Banques and the Société Inter-Africaine de Banque.Although the participants came from differ-ent types of institutions with different levels of organisation of internal control systems, the seminar has clearly demonstrated the universality of concepts, principles and tech-niques in organising the control function within banking institutions. Nonetheless, the participants noticed that the practices could sometimes differ mainly because of the nature of the African environment.

The seminar provided useful tools for con-trolling various activities such as cashier operations, money transfer operations, con-trol of branches, credit & commercial poli-cies, treasury management, accounting, etc. It highlighted the added value of the inter-nal control function, namely guaranteeing the compliance to established rules and procedures in order to ensure the long-term viability of the enterprise.


Seminar on the Organisation of Internal Control within Banking Institutions in Togo

EVENTS AND TRAINING

WSBI hosts launch of World Bank Global Economic Prospects (GEP) Report

On November 15th, WSBI partnered with the World Bank to launch the 2006 Global Economic Prospects Report, dedicated to the topic of Economic Implications of Remittances and Migration.

The launch was chaired by Laurie Dufays, Deputy Director at WSBI, and the report was presented by two of its authors: Uri Dadush, Director of the International Trade Department and Andrew Burns, Senior Economist at the World Bank. Comments were made by Dr. Johan Wets, Senior Research Associate at the Catholic University of Leuven.

According to the report, there are almost 200 million migrants worldwide and their

earnings are a tool to reduce poverty since nowadays official remittances stand for US$ 225 billion, while just five years ago they were only US$ 80 billion. Remittances sent through informal channels could add at least 50% to the official estimate. In certain coun-tries like Moldova, Haiti and Bosnia they stand for 25% of the country GDP, reaching even 31% in Tonga. Moreover it is worth noting that remittances are not just a North - South phenomenon, as 30 to 45% are sent between developing countries. India, China, Mexico and the Philippines are the biggest recipients of remittances, while the most important source is the US.


17

Twenty partici-pants from high level manage-rial positions within The Government Savings Bank of Thailand

(GSB) participated in the simulation semi-nar on Bank Strategies and Operational Decisions in a Competitive Environment, organised by the World Savings Banks Institute (WSBI) in close partnership with the Deutscher Sparkassen und Giroverband and the Savings Banks Foundation for International Cooperation (SBFIC)1, the lat-ter being the seminar facilitator. The simu-lation seminar was held from 13 to 16 December in Bangkok.

The Bank Management simulations have been developed by the SBFIC in coopera-tion with the WSBI. The simulation allows

participants to test the consequences of taking major management decisions within a bank over five periods of time. On this occasion, the simulation seminar covered a large range of parameters, since partici-pants came from GSB managerial positions in a large array of different departments.

In addition to the Bank Management Simulation, the WSBI has started to offer the Branch Management Simulation to its members. The programme covering both simulation trainings is very flexible and can be provided in the form of seminars at national, regional or interregional level for several institutions as well as for the staff of one institution only. Furthermore, the simulation offers the possibility of targeting the seminar to different staff levels of the institution.

Contact: [email protected] or [email protected]

Seminar on Bank Strategies and Operational Decisions in a Competitive Environment in Thailand

1 The SBFIC or Savings Banks Foundation for International Cooperation is the international arm of the German Savings Banks Finance Group.

The 8th Inter-American Forum of the micro-enterprise was organised in Santa Cruz de la Sierra, Bolivia from 6 to 7 October. The seminar was officially opened by Luis Alberto Moreno, President of the Inter-American Development Bank (IDB) and more than 1000 people attended.

At the heart of the discussions was the chal-lenge of offering better microfinance ser-vices and management tools to micro-entre-preneurs, especially to those living in rural areas. Various workshops were organised: the mass-development of microcredit, the structural development of micro enterprises, the financial education of micro entrepre-neurs, the transparency of microfinance insti-tutions, and social work in indigenous and rural areas.

During the forum, the President of IDB awarded various microfinance institutions for their work: Compartamos of Mexico, the Nicaraguan Local Development Fund (Fondo

de Desarrollo Local) of Nicaragua, the asso-ciation of small merchants CAMBADU of Uruguay and the social entrepreneur Julio Alem Rojo of Bolivia.

The WSBI chaired a panel on socially com-mitted enterprises, and the tools, services and projects that are available. This forum was an excellent opportunity for the WSBI to ensure the IDB and the microfinance world in general of its full support and involvement and to present the work of WSBI and its members to various financial institutions of Latin America.

The Forum was wrapped up by Mr. Alvaro R. Ramirez of the Inter-American Development Bank and Mr. Armando Rodas Espinal, vice-minister of Economy of Ecuador, who announced the organisation of the next Forum in September 2006 in Quito.


8th Inter-American Forum of the Micro-enterprise in Bolivia

EVENTS AND TRAINING

18

On 24 September 2005, WSBI and ESBG held their annual joint reception, at the occa-sion of the annual meetings of the World Bank and International Monetary Fund. The event, which took place at the International Spy Museum was attended by more than 200 delegates from banks and financial institutions, regional development banks, governments, supervisory authorities, inter-national organisations etc. The originality of the new concept – it was the first time that WSBI and ESBG organised their event in a museum, a tour was proposed to the guests- was largely appreciated.

The reception was sponsored by the fol-lowing WSBI/ESBG members: Associazione fra le Casse di Risparmio Italiane (ACRI), Confederación Española de Cajas de Ahorros (CECA), DekaBank, Groupe Caisse d’Epargne and SNS Reaal Group. Organisational and logistical support was kindly provided by the new WSBI member, America’s Community Bankers (ACB).


WSBI/ESBG reception in Washington

EVENTS AND TRAINING

Dr. Berndt (WSBI), Mr. Olavarrieta (CECA), Ms. Casey-Landry (ACB), Mr. Paintendre (Groupe Caisse d’Epargne), Dr. Steinmetz (DekaBank)

Dr. Berndt (WSBI), Ms. Hoppenstedt, Dr. Hoppenstedt (DSGV), Ms. Casey-Landry (ACB), Mr. De Noose (WSBI-ESBG)

Dr. Berndt (WSBI), Mr. Olavarrieta (CECA), Mr. Paintendre (Groupe Caisse d’Epargne), Dr. Steinmetz (DekaBank), Mr. van Keulen (SNS Reaal), Mr. De Noose (WSBI-ESBG)

19

The European Savings Banks Group, together with its consortium partners Lloyds TSB Bank and UEAPME (European Association for Crafts, Small and Medium Enterprises), successfully completed the information dissemination programme

for the European Commission-funded project “Impact on SMEs of the Basel II accord on capital adequacy rules: informa-tion dissemination through the organisation of conferences, including relevant back-ground material”.

The project activities, which took place between 31 March 2004 and 31 October 2005, can be grouped into four main components:

Gathering information from banks (both members and non-members) about information they (will) request for their internal rating and loan processing purposes as a result of Basel II;

Collation of information gathering data with existing information on Basel II to develop and translate the training material (conference presentations & toolkit) that will assist SMEs to revise their procedures;

Development and maintenance of a project website that includes the training and marketing materials in 24 languages and the national conference programmes in 28 European countries;

Selection of speakers and organisation of the pilot & training of trainers seminars in Brussels and roll out of 60 conferences, in close coordination with local organisers.

The conferences were originally aimed at SMEs and sought to promote their under-standing of the changes that may occur in their access to finance in the context of the new Basel II regulations on capital adequa-cy. However, a large number of delegates were in fact from related industries, such as accountants, business consultants and lawyers. We hope that these professionals will act as multipliers of the conferences, by using the knowledge gathered at the con-ferences in their daily contacts with SMEs.

Almost 5,500 delegates attended the 60 conferences, which were in general highly rated. In order to accommodate different habits and to adapt to the different know- how on the topic, modifications in the conference programmes and duration were requested and subsequently implemented. For example, German SMEs obtained a lot more information on the upcoming Basel II through their regional authorities than in other countries, and it was therefore decided to reduce the duration of the con-ferences to a half day.

The final tasks of the assignment, which contractually expires in January 2006, relate to the final report and the handing over of the project website to the European Commission.


Basel 2 for SMEs programme: last conferences successfully delivered

CONSULTANCY NEWS

20

At the end of October 2005, a project in which ESBG acts as the lead consortium part-ner organised a programme of senior level financial services events in Shanghai, including an EU-China Round Table on Financial Services

and Regulation, a Corporate Governance Workshop and a regulatory dialogue between the European Commission and the Stock Exchange.A key component of the EU-China Financial Services Co-operation Project’s work is the development of strong links and relations between the EU and Chinese supervisory authorities and market practitioners, and to support the financial services regulatory dialogues that take place between China and the EU. This support work culminated recently in the arranging and hosting on behalf of the European Commission of a series of events in Shanghai on 27th and 28th October.

EU-China Round Table on Financial Services and Regulation

Fifty of China’s and the EU’s most senior financial services regulators and practition-ers met to discuss the global challenges asso-ciated with regulating financial markets, the effective supervision of financial services and how to foster better international regulato-ry co-operation between China and the EU. The importance both sides attached to the initiative is demonstrated by the seniority of the level of participation in the event. Corporate Governance Workshop

A half day workshop was held at the China Europe International Business School (CEIBS) in Pudong, Shanghai addressing issues relat-ing to corporate governance from the per-spectives of the banking, insurance and securities industry sectors. The workshop drew upon the experience and expertise of a wide range of regulators, practitioners and academics from both sides to present suggestions on how to enhance the corpo-rate governance environment and to reflect upon the international initiatives taking place, and to address specific issues arising in connection with internal control and accounting procedures within financial serv-ices firms.

Policy discussions with the Shanghai Stock Exchange

A party of many of Europe’s senior regulato-ry representatives visited the Shanghai Stock Exchange on the morning of 27th October. In the afternoon, a meeting was arranged between Mr. David Wright, the Director of Financial Services Policy and Financial Markets from the European Commission’s Internal Market and Services Directorate and representatives of the Shanghai Stock Exchange. Participants discussed how the EU can co-operate with and assist the Chinese securities industry regulators.

Interest has been expressed by the Chinese side for discussions to take place that will hopefully lead to the signing of a memo-randum of understanding on regulatory co-operation and information exchanges. The project will work in its last year to sup-port the development of the Sino-European relationships and the fostering of a closer rapport that will hopefully achieve a much more productive working partnership with-in the financial services sector.

Barry Livett, Project Co-ordinator & Director – Securities Industry, EU-China Financial Services Co-operation Project.

Contact: [email protected] [email protected]

EU and Chinese financial experts participate in a Round Table meeting in Shanghai

CONSULTANCY NEWS

21

The Board of Directors of EUFISERV1 has made it clear at its recent Board meeting that the compa-ny is committed to play its full role in the creation of

a SEPA based on the new opportunities that result from imminent structural changes in the card payment industry. The Board lev-elled the playing field by opening the share-holding to all financial institutions.

With this strategic move, EUFISERV is ready for the advent of the Single Euro Payment Area (SEPA), the creation of which is demanded by the European institutions such as the European Commission and the European Central Bank. In SEPA, the European consumer shall be able to make payments throughout the whole euro area by using one card as easily and safely as a national card payment is today. In order to achieve this, it is expected that several of today’s national card payment schemes will interlink with other schemes beyond their borders. As a first step, the German bank-ing community have already announced

that they will remove all borders to allow interested banks to participate in their debit card scheme. Also VISA and MasterCard are expected to revise their product strategies for SEPA.

The Board committed to support banks and schemes who seek compliance with the SEPA Cards Framework (SCF) as elaborated by the European Payments Council (EPC). The EPC is a body created by the banks in Europe for creating the SEPA through self-regulation. The SCF outlines high level principles to which banks and financial institutions must comply.

For the past 15 years, EUFISERV have been interlinking banks and bank processors as well as providing easy access to the global card payment networks making EUFISERV very well positioned to deliver to the banks many of the new service and facilities that need to be constructed for the creation of the SEPA.


EUFISERV ready for the Single Euro Payment Area

AFFILIATED ORGANISATIONS

New WSBI and ESBG members

WSBI and ESBG are pleased to welcome their new full members.

As of the 2005 WSBI General Assembly, which took place in Lima, Peru on 29-30 September, the new mem-

bers are:Federación de Mutuales de Ahorro y Prestamo, Costa RicaKorean Savings Banks Group, Republic of Korea

Office National des Postes – La Poste Tunisienne, TunisiaAmerica’s Community Bankers, USA

As of the 2005 ESBG General Assembly, which took place in Brussels on 16 November the new members are:

Sberbank, Russia, who previously had an Observer statusVakifbank Türkiye Vakiflar Bankasi TAO, Turkey


IN BRIEF

1 ESBG subsidiary active in the field of payment cards.

22

Since the beginning of November, a new commu-nications manager has been appointed at WSBI-ESBG. Prior to this position, Dirk Smet worked as Press Relations Officer at the asset manage-

ment division of the financial services group Fortis. Do not hesitate to contact him for all communications issues.


Appointment of Communications Manager

IN BRIEF

23

IN BRIEF

Recent ESBG Position Papers

2005-12-05 Comments on the Green Paper Mortgage Credit in the EU (Ref: COM (2005) 327 final) 2005-12-01 Response to CESR Consulta-tion on Mediation Mechanism (Ref: CESR / 05-483c)2005-11-16 Comments on the European Commission’s Green Paper on the en-hancement of the EU framework for investment funds2005-11-10 ESBG Response to CEBS’ guidelines on the implementation, validation and assessment of Advanced Measurement (AMA) and Internal Ratings Based (IRB) Approaches (CP 10)2005-10-26 ESBG response to CEBS’ Consultation Paper on the application of the Supervisory Review Process (CP 03 revised2005-10-24 ESBG response to the Commis-sion’s review of the Deposit Guarantee Schemes Directive (94/19/EC).2005-09-23 Comments by the European Savings Banks Group in response to the ESCB–CESR Public Statement on Follow–Up Work by the ESCB/CESR Joint Working Group2005-09-16 Response to CESR’s Consulta-tion on the Historical Financial Informa-tion which must be included in a Prospec-tus2005-09-16 Response to the Commission’s consultation on the fourth Working Docu-ment on MiFID (Ref: ESC/23/2005)2005-09-06 Joint letter to Council Presi-dency and EP on Comitology2005-09-02 Response to CESR’s Call for Evidence on Storage and Filing of Regu-lated Information (Ref: CESR/05-493)2005-08-16 Response to the Commission’s Consultation on the third Working Paper on MiFID (Ref: ESC/20/2005)2005-08-01 ESBG Comments on the European Commission’s Green Paper on Financial Services Policy (2005 - 2010)

To view the full position paper, please visit the ESBG website at www.savings-banks.com

Recent ESBG Press Releases

2005-12-08 ESBG welcomes the wide consultation exercise undertaken by the Commission in the area of mortgage credit2005-12-06 Europe’s savings banks welcome Financial Services Policy 2005 – 20102005-12-02 Savings banks essential to the expansion of access to financial services 2005-12-02 Proposal for a Directive on payment services in the internal market: long awaited, needs improvement2005-11-14 WSBI/ESBG launch the EU/US Retail Banking Forum 2005-10-26 “Savings Banks’ socially responsible activities, a wealth of experi-ence”2005-09-28 ESBG welcomes the adoption of the Capital Requirements Directive (CRD)2005-08-25 Tackling the barriers to an integrated clearing and settlement market: European banking sector to contribute further to harmonization of corporate action practices2005-08-08 Barrier 3 - Interest payments and maturity redemption recommenda-tions2005-07-14 ESBG welcomes the result of the EMAC vote on the Capital Require-ments Directive

To view the full press release, please visit the ESBG website at www.savings-banks.com

Recent WSBI Press Releases

2005-11-14 WSBI/ESBG launch the EU/US Retail Banking Forum 2005-10-30 SAVINGS: Needing them more than ever2005-09-29 Savings banks contribute to three quarters of the total accessible accounts worldwide2005-05-30 European, Asian savings banks seek ties on International trade products and services2005-05-19 A few Euros/Dollars can make a big difference. WSBI identifies long-term objectives with a Fair Value Remit-tances

To view the full press release, please visit the WSBI website at www.savings-banks.com

Recent position papers and press releases

Rue Marie-Thérèse, 11 B-1000 Brussels Tel: +32 2 211 11 11 Fax: +32 2 211 11 99

[email protected] www.savings-banks.com

WSBI (World Savings Banks Institute) and ESBG (European Savings Banks Group) work with savings and retail banks worldwide to represent their interests internationally and create cross-border business opportunities.WSBI is one of the largest international banking associations and the only global representa-tive of savings and retail banks. Founded in 1924, it represents financial intermediaries from 86 countries, including all ESBG members. Established in 1963, ESBG represents probably the largest European network of retail banks comprising almost 1,000 financial intermediaries from 25 pan-European countries.At the start of 2004, assets of all member banks amounted to more than €7,300 billion, non-bank deposits to €4,500 billion and non-bank loans to around €3,800 billion.Member banks operate more than 195,000 branches and employ 2.3 million people.

ABOUT WSBI-ESBG

IMPRESSUMEditor in Chief: Chris De Noose, Chairman of the Management Committee.For editorial comments and queries, please contact [email protected] on 32 2 211 11 91.This newsletter is disseminated to 3000 people in over 90 countries, including all member organisations of the WSBI and ESBG. Published 4 times per annum by the joint secretariat of the WSBI and ESBG, Brussels, Belgium.

s w e n - wsbi-esbg€¦ · online channels have proven useful as a complement to the traditional...

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