Luís Máximo dos Santos: Opening address - FinCoNet Annual
General Meeting
Opening address by Mr Luís Máximo dos Santos, Vice-Governor of the Banco de
Portugal , at the FinCoNet Annual General Meeting, Lisbon, 21 November 2022.
* * *
Good morning, good afternoon and good evening.
Welcome to the 2022 FinCoNet Assembly General Meeting.
Welcome to the Banco of Portugal and to the wonderful city of Lisbon!
It is a great honour for the Banco of Portugal and for me, as Vice-Governor and
member of the Board of Directors responsible for the Banking Conduct Supervision
Department, to host this important event.
The Banco of Portugal has been deeply committed to market conduct supervision since
2008, when a comprehensive financial consumer protection mandate was assigned to
the Central Bank. The genesis of market conduct supervision was propelled by the
global financial crisis that struck the markets in 2008/2009.
In 2016 I became the member of the Board with direct responsibilities for Banking
Conduct Supervision.
It has been a time of difficulties and hard challenges but also of countless achievements
and fascinating transformations. I am delighted to work directly with all the staff in the
Conduct Supervision Department and especially with the head of Department, Maria
Lúcia Leitão, who is a great example of dedication, competence and inspiration to us
all.
The Global Financial Crisis profoundly shook banking customers' trust in retail banking
markets and proved the existence of shortcomings in the conduct between financial
firms with their customers. It exposed the asymmetry of this relationship and how
illinformed financial decisions can pose a risk to the stability of the financial system.
It was acknowledged that market conduct supervision is essential to ensure enhanced
consumer protection, efficient retail banking markets and the stability of the financial
system as a whole.
While pursuing its market conduct supervision mandate, the Banco of Portugal
recognised, right from the outset, the relevance of participating in international fora. Our
approach to market conduct supervision is very outward-oriented and has allowed us to
benefit from benchmarking and sharing experiences with international peers.
FinCoNet has played a fundamental role, as a discussion locus gathering market
conduct supervisors from around the globe.
Recent developments are highly demanding for market conduct supervisors. The swift
digitalisation of retail banking markets fostered by the COVID-19 pandemic entails new
risks for consumers, with new players and cutting-edge products defying the limits of
the supervisory scope. The disruptive impacts of ongoing events at the international
level are pressuring the financial resilience of households even further.
In these ever-changing and challenging times, discussing relevant and timely topics
with other supervisors is immensely important. It is crucial that supervisors assemble
their knowledge and experience, in order to swiftly overcome current challenges and
anticipate issues that may arise in the future.
The Banco de Portugal's commitment to market conduct supervision is reflected in its'
strong engagement with FinCoNet.
The Banco de Portugal is a founding member of FinCoNet and a member of the
Governing Council. The Head of the Banking Conduct Supervision Department of the
Banco de Portugal, Maria Lúcia Leitão, has been part of FinCoNet since its
establishment, and was elected Chair in 2019, following three years as Vice-Chair.
The Banco de Portugal has also been leading the work of one of FinCoNet's Standing
Committees (firstly by Maria Lúcia and since 2019 by Pedro Dias).
This week, the Banco de Portugal is hosting this year's FinCoNet AGM, which is an
important event and a milestone for both FinCoNet and the Banco de Portugal.
The last two General Assembly Meetings were held virtually, due to COVID-19 related
restrictions, so this AGM will be the first in-person meeting happening over the course
of Maria Lúcia Leitão's mandate as Chair of FinCoNet.
Unfortunately, it will also be her last. Nevertheless, being a keen participant in FinCoNet
is and will remain a priority for the Banco de Portugal. Our dedication and commitment
to FinCoNet will continue because we see it as a long-term strategic option.
Please be assured that the Board of Directors remains committed to FinCoNet and its
ambitious purpose and programme of work.
Lastly, I would like to thank all our attendees for your participation. In particular, our
speakers, moderators and hosts. I wish you an enjoyable AGM and a pleasant stay in
Lisbon, if that is the case.
I also wish you an inspired meeting.
Before I finish, I would like to invite the audience to give a big round of applause to our
Chair, Maria Lúcia Leitão, for a lifetime's career dedicated to public service,
international cooperation and conduct supervision!
Thank you very much for your attention.