Collection and processing of banks’/non-bank financial institutions’ reporting to be centralised across Russia

On 24 November, the Bank of Russia launched its Centre for Processing of Banks’ and Non-bank Financial Institutions’ Reporting, based in Tver.

The opening ceremony was attended by Ksenia Yudaeva, First Deputy Governor of the Bank of Russia, Ilshat Yangirov, Head of the BoR Main Branch for the Central Federal District and Olga Goncharova, Director of the Reports Processing Department.

‘Reporting collection and processing at the Bank of Russia has long been built on a decentralised model. ‘Collection formats varied from region to region, and outdated technologies were not uncommon, said Ksenia Yudaeva. ‘Such practices resulted in growing reporting-related costs concerning its preparation, submission and processing – incurred by both our supervised organisations and the Bank of Russia’s regional branches. These costs are set to be lower thanks to the centralised process of document collection we are now migrating to’.

The novel information technology will enable the new subdivision to build more user-friendly and cross-functional interaction between the regulator and market players, reducing regulatory burdens. Banks and non-bank financial institutions (NFIs) will benefit from expedited and higher quality clarifications on matters related to compilation and submission of reports to the Bank of Russia - that is, the process will be streamlined and more transparent. Importantly, the new central reporting model will not mean that financial companies incur new equipment procurement / retraining costs.

From the Bank of Russia’s perspective, the reports processing centre is essential in order to improve the quality and efficiency of its supervisory efforts, and monitor compliance with reporting collection / submission procedures. The Tver-based centre will handle bulk data as the regulator currently receives statements from 550+ banks and over 12 thousand NFIs. On a piecemeal basis, the report handling functions of some 80+ BoR regional branches, located across the whole country from Kaliningrad to the Far East, will be handed over to the new subdivision.