Contingency planning in financial infrastructure

Each financial sector participant has an independent responsibility to reduce risk in its own business. This responsibility includes developing stable operating systems, sound reserve and contingency solutions and a robust financial infrastructure.

Norges Bank's work with contingency plans for the financial sector is connected with its responsibility for promoting an efficient payment system, contributing to financial stability and monitoring the Civil Defence and Emergency Planning System in the financial sector. This applies internally to the Central Bank's own systems, including Norges Bank's settlement system, externally to the financial sector infrastructure, including through responsibility as authorising and supervisory authority for interbank systems, and discharging Norges Bank's responsibilities pursuant to the Bank Guarantee Act. See the account of contingency planning under financial stability.

The Contingency Committee for Financial Infrastructure (BFI) was established in October 2000 to promote optimal cooperation of contingency work between financial sector participants. Norges Bank chairs the committee and provides a secretariat. The main responsibilities of the committee are:

• to arrive at and coordinate measures for preventing and resolving crisis situations that may lead to major disruptions in financial infrastructure
• to carry out the necessary coordination of contingency issues in the financial sector, including the Civil Defence and Emergency Planning System.

The following institutions and participants are represented on the committee: The Financial Supervisory Authority of Norway (Kredittilsynet), the Norwegian Financial Services Association, The Norwegian Savings Banks' Association, the Banks' Payment and Central Clearing House (BBS), EDB Business Partner ASA and the Norwegian Central Securities Depository (Verdipapirsentralen ASA).

The Contingency Committee on Financial Infrastructure publishes annual reports on its work.