OREANDA-NEWS. The Bank of Russia summed up preliminary results and discussed the prospects for the implementation of the ‘Roadmap on the development of electronic interactions in the financial market’.

During the year of the Road Map implementation, the regulator formulated proposals to refine electronic workflow and public services, which were subsequently approved by the Government Subcommittee on Information Technologies. Besides, the procedure for placing Bank of Russia services in the unified portal of public services (UPPS) was prepared and coordinated.

To overcome technologic barriers, an architecture was developed to support the electronic interaction of financial market participants and the Bank of Russia, and also federal executive authorities using, among other things, the electronic government infrastructure.

Specifically, possibilities are studied to introduce a modern unified format for exchanging reporting data to be used by financial market participants and non-financial agents.

Alongside the above, the Bank of Russia is implementing a project for the migration of non-bank financial institutions to the unified business reporting format XBRL.

The implementation of the modern unified reporting data exchange format is executed in close cooperation with public authorities and financial market participants.

A more efficient electronic interaction of financial organisations will make it possible to cut workflow-related costs for all stakeholders. Moreover, it will help financial organisations to thoroughly study their customer activities, thus enabling them to counter the legalisation (laundering) of criminally obtained incomes and the financing of terrorism (AML/CFT) and to assess customer solvency.

Besides, as part of the Road Map implementation and seeking to improve the cyber security in the financial sector, the Bank of Russia has set up the Centre for Cyber-attack Monitoring and Response in the Financial Sector (FinCERT). Proposals were drafted to introduce amendments to the Russian legislation with a view of enhancing information security in the financial sector and improving the prosecution procedures against cybercrimes. Work is also underway to standardise measures aimed at installing information security for financial organisations.

In addition, the Bank of Russia and the Federal Financial Monitoring Service have prepared AML/CFT proposals aimed at expanding the application of a simplified procedure to identify the beneficiary owner of a customer and a beneficiary. Once implemented, these proposals will cut the labour input of financial organisations on AML/CFT measures, will help them focus on agents posing more threat in terms of AML/CFT, and also raise the availability of financial services for customers.

The meeting participants, consisting of the representatives of executive and legislative authorities, and also financial market, gave a high assessment to the preliminary results achieved by the Bank of Russia in developing electronic interaction in the financial market, noting that the tasks set in the Road Map have been accomplished on time and in full.

At the outcome of the meeting, a statement was made on the further need to refine and up-date the Road Map.