Ten Years on from the Financial Crisis: Co-operation between Competition Agencies and Regulators in the Financial Sector

This paper discusses how financial regulators and competition agencies have co-operated to implement a regulatory and competitive framework that delivers a stable system in which innovative and efficient firms can thrive to the benefit of consumers. To do this, the paper starts by describing the classic trade-off between financial stability and competition and then analyses the different practices across OECD jurisdictions in terms of allocation of responsibilities for financial stability and competition. Attention is also paid to new policies and new developments both in financial regulation and financial markets, such as consumer protection, new transparency and disclosure requirements as well as of initiatives favouring the development of financial innovation, such as Fintech. It was prepared as a background note for a discussion on the co-operation between competition agencies and regulators in the financial sector held at the OECD in December 2017.