FIN-FSA’s Annual Report 2022: State of the financial sector remained solid, but global events caused turmoil in the operating environment
The state of the financial sector remained good in 2022; however, Russia’s invasion of Ukraine increased risks to both economic development and cyber security.
“Risks in the operating environment remain elevated. In their capital management processes, institutions must prepare for weaker economic development than the baseline scenario. The stress scenarios used in capital management processes must be updated to reflect the current situation, as even the baseline scenarios are weaker than they looked a year ago,” writes FIN-FSA Director General Tero Kurenmaa in his review.
A new strategy for 2023–2025 was finalised for the FIN-FSA in 2022. The strategy aims to build the FIN-FSA into a proactive and predictable supervisor.
“This means that, as a supervisor, we have to recognise changes in the operating environment and anticipate the implications for our supervisory responsibility. We are also consistent and predictable in our own actions towards supervised entities,” says Kurenmaa.
The FIN-FSA's annual report discusses, among other things, the state of the financial sector, the adaptation of supervision to the evolving operating environment, and significant themes of the review year:
- The geopolitical situation accelerated preparation for cyber attacks in the financial sector
- The energy crisis shook the electricity derivatives market
- A year of uncertainty in the virtual currency markets
- ECB’s climate stress test testing and thematic review: banks must consider the impacts of climate change in their operations and risk management
- Good governance safeguards the operations of the supervised entity and the security of clients’ money and insured benefits
The annual report was published as a website, and it will be also published in Swedish and English later in the spring.
For further information, please contact:
FIN-FSA Communications, tel. +358 9 183 5030 (weekdays 9.00–16.00).
Read the reports
- Annual Report 2022 website (in Finnish)
- The FIN-FSA Board’s report 2022 to the Parliamentary Supervisory Council (pdf, in Finnish)