1st MOU-PARTNERS’ MEETING

With signing a Memorandum of Understanding on 24 June 2005, the two founding members of the International Association of Deposit Insurers (IADI) envisaged a regular consultation process about the enhancement of their deposit insurance systems and exchange of knowledge in general.

The Central Deposit Insurance Corporation is considered to be one of the most experienced institutions in strengthening the mechanism for risk control and resolution of problem banks globally.

Dr. Peter Szekacs, Managing Director and his deputy Dr. Andras Fekete-Gyor of NDIF received the delegation.

Mr. Szekacs gave an overview for the guests on the recently changed mandates of NDIF, its new roles and responsibilities, the present challenges of the institutions, as well as gave insight of the Hungarian banking system.

Mr. Chen emphasized, that it is very significant for CDIC that the first such agreement with a European member of IADI had been established with NDIF, which of the achievements and several initiatives are well recognized among deposit insurers worldwide. Mr. Chen gave a presentation for a professional audience on the recent amendments to the Deposit Insurance Act, developments in Taiwan’s banking sector and major strategic thrusts of CDIC for the upcoming years. He also stressed, maintaining adequate checks and balances and inter-relationship mechanism among the safety-net participants, especially between the deposit insurer and the supervisory authority is imperative for a well functioning and sound financial system in every country.