Nicosia, Cyprus. The Cyprus Securities and Exchange Commission said a follow-up review by the European Securities and Markets Authority recognised significant improvements in its supervision of investment firms’ cross-border activities.
Follow-up review
The European Securities and Markets Authority’s Peer Review Committee assessed actions taken by several national competent authorities following recommendations issued in a 2022 review of cross-border investment firm supervision.
The assessment covered authorisation, supervision, enforcement and cooperation with other supervisory bodies.
Supervisory measures
The committee found progress in integrating cross-border activities into risk-based supervisory frameworks across national authorities.
CySEC was highlighted for introducing regular and dedicated monitoring of cross-border activities. ESMA also acknowledged improved cooperation arrangements established by the Cypriot regulator.
The report noted structural changes by CySEC aimed at ensuring requests are handled more promptly and said improvements had been observed in practice.
Resources and enforcement
The Peer Review Committee described CySEC’s recruitment of an additional 32 staff members to strengthen supervisory resources as a significant achievement.
It also said that increased supervision and enforcement by CySEC since the peer review was a constructive and encouraging development.
CySEC response
CySEC chair George Theocharides said the follow-up report and the improvements identified reflected progress in strengthening the regulatory framework for Cyprus Investment Firms operating across borders.
“Today’s follow-up report to the 2022 peer review, and the tangible improvements it highlights, reflect the significant progress that has been achieved,” Theocharides said.