RegTech and compliance management
RegTech is composed of the words “regulatory” and “technology”. It is a collective term for the application of modern technologies, to get the increasing regulation in the banking- and financial sector under control both from an IT and a legal standpoint.
Attitude of the country towards RegTech-services
Social and political climate towards RegTech-services in Serbia is positive and banks are increasingly outsourcing their activities mainly with the aim to increase efficiency and cost-effectiveness.
Obligations and requirements to provide RegTech-services
Generally, the rules allow the banks to outsource some of its functions, such as data entry and processing, computer centres (data centres), IT infrastructure administration (computer networks, operating systems, databases), customer support, etc., except for maintenance services that do not include access to sensitive bank data, or data that could be misused compromised confidentiality, integrity or availability of data, information or processes in the information system. Outsourcing is done following prior notification to the NBS, except in case of outsourcing of the activities related to the procurement of goods and standardized services such as services related to the use of telecommunications, advertising services, cleaning services, market research services, etc. The bank should conduct detailed analysis of the potential service provider to which the information system services will be outsourced, potential costs, and should provide continuous operations, risk management, etc.
Additional comments regarding the legal situation for RegTech-services or what RegTech’s must be aware of in this business area
Market size for RegTech-services and biggest companies in this business area
There is no information on the number of entities which perform outsourcing for the banks. In any event, further regulation and market expansion in this area is expected.
Additional comments regarding the economic situation for RegTech-services or what RegTech’s must be aware of in this business area