Recently, on January 31, the Office of the Shanghai Banking and Insurance Regulatory Commission issued the Notice on Carrying out the Preparation for EAST Data Reporting (Shanghai Banking and Insurance Regulatory Office Memorandum [2023] No. 1) (hereinafter referred to as the "Circular"), and forwarded the specification requirements of the Standardization Specification for Regulatory Data of Banking Financial Institutions(2021 Edition) (Phase IV). So far, the EAST data reporting work of 22 branches of foreign and Hong Kong, Macao and Taiwan banks in Shanghai has been further promoted, which means that EAST will fully cover all banking and financial institutions in Shanghai.
In line with the high-quality completion of the reporting requirements, the Notice puts forward the following four work requirements for the third batch of foreign bank branch financial institutionsthat submitted EAST data:
As a strong backing for financial institution customers,RIKING actively promoted the project progress in the process of collaborating with various financial institutions EAST5.0 project,met the submission needs efficiently and with high quality, and successfully completed the first and second batches of successful submission of several foreign banks in one go! Among the second batch of foreign banks served by RIKING, two European and American banks were selected as models by the CBIRC and shared the entire promotion experience and landing plan of the EAST project, and I believe that RIKING will continue to escort financial institutions, help the third batch of foreign banks online to cope with strictre gulatory challenges, and further provide strong proof and more solid confidence for promoting the development of regulatory data governance and compliance.
In the more than one year since the official submission of EAST5.0, the CBIRC has successively issued four Q&A,providing some standards for reporting in various businesses and scenarios, and the continuous improvement of various submission calibers and the adjustment of verification rules, all of which reflect that EAST will continueto optimize in the following period. RIKING has long focused on EAST regulatory calibers combing, banking business scenario analysis, and data quality inspection, and has brought together the rich experience of various financial institutions in submitting EAST5.0 to assist banks in data quality monitoring and verification in an all-round way, and effectively improve bank data quality.
Based on the reporting experience of foreign banks and communication with regulators, RIKING's consulting team sorted out the caliber and verification issues of various doubts, such as:
(1) For actual business scenarios that do not conform to the inspection rules, or objective problems that are difficultto rectify due to historical reasons (among which objective problems that are difficult to rectify should perform the request process in accordance with the requirements of the specification), each bank can truthfully submit and explain the reasons in the "Regulatory Standardization Data Inspection Results", and there is no need to submit a list of problems.
(2) The difference between strong verification and weak verification, strong verification requires the institution to explain the reason for the failure, and the weak verification institution are not required to provide the reason, but needs to grasp the situation and make rectification actions according to the situation. Strong verification does not require 100% compliance with the description of the check rules, but for cases of non-compliance with the check rules, the reason needsto be provided to the regulatory authorities.
(3) 1104, customer risk and EAST comparisonis only for cross-verification, and there is currently no mandatory verification requirement to establish between EAST and 1104 and customer riskin the official document.
(4) The general requirements for desensitization are that as long as the name of the individual (except theemployee) and the identity card number are involved, it is necessary to desensitize, but it is recommended that if the identity card number is not obtained,the certificate number will no longer be desensitized, and it can be left blank directly.
(5) The overall caliber requirements of the teller table, such as self-service banking, online banking, it can be regarded as virtual tellers, and banks can report according to the requirements of the specifications based on their own business characteristics, and makespecific distinctions through the status of "employee type".
(6) The General Ledger Accounting Full Chart of Accounts is submitted to the accounts of banking institutions with balances or incurrables.
(7) The scope of internal accounts,according to the accounting accounts, except for the separate accounts, in principle, is included in the internal account collection; Separate accountsare submitted to credit cards, business/personal accounts; Capital accounts need to be submitted. Therefore, costs and expenses, bills.It should be included in the internal account reporting.
(8) The corporate customer information form shall report the basic information of all corporate customers of the banking institution, and the affiliated customers of the credit granting customer do not need to fill in, and other customers shall fill in in accordance with therequirements of the "Data Structure" in the specification.
(9) The balance statement of proprietary fund business does not set a primary key, and the amount is summarized and reported. Enter the default values for the annualized interest rate, valuestart date and maturity date of the business under interbank transactions. Dueto the large differences between businesses, it is necessary for the bank to summarize according to its own reality, and it is recommended to refer to the accounting account.
(10) The Financial Instruments Information Form is an extension of the Proprietary Fund Transaction Information Table and Balance Statement, and the data submitted in the Proprietary Funds Statement of the month need to have corresponding Financial Instrument Information.
(11) Spot and derivatives transaction information table, in addition to normal bank transactions,The foreign exchangesettlement and sale of foreign exchange of foreign bank branches ,transactions between other institutional headquarters, branches and internal departments are required to be submitted.
(12) Spot and derivatives transaction information table, after the derivative transaction occurs, the actual valuation information is reported according to the valuation cycle, and if thevaluation is on a daily basis, it is reported on a daily basis.
The above is only a partial demonstration,RIKING further provides professional business consultation and submission guidance for everyone during the implementation process, and improves the compliance of reporting on the basis of reducing the implementation cost of banks.
At present, in the EAST5.0 process, the supervision for the data reported by each financial institution, by the CBIRC of each jurisdiction according to local characteristics and business characteristics, regularly carry out special verification related feedback,require financial institutions to conduct verification related content forself-inspection and sorting, on this basis, RIKING reporting system fully supports regulatory verification, custom verification, total scoreverification, cross-system verification and other functions, which can be used by financial institutions to flexibly and efficiently configure various regulatory standards or temporarily initiated self-inspection rules.Verification of reported data from different dimensions can effectively avoid false negatives and false negatives of data, and continuously optimize the function to further improve the quality of submitted data.
Double check for product-level packet format check. It provides packet name, special character, data item interval,and import format check. After packets are generated, packet format verification is performed to improve the success rate of packet reporting.
For the monitoring of the null value rate required by the regulatory requirements, RIKING provides a complete visual interface form, field-level null value rate display and past comparative analysis statistics, and provides early warning prompts for fields with high null value rate or higher than previous data.
Today, RIKING has provided mature and reliable regulatory compliance solutions for 200+ financial institutions a thome and abroad. The market share of foreign bank customers reached 80%. In the future, RIKING will be committed to jointly promote the digital development of regulatory technology for more partners and improving the quality of financial services for more partners. If you have relevant business needs, you can call directly for more details, we will provide policy consultation, business communication, system development, system acceptance testing, technical supportand other services according to your needs. Contact number: 400-921-0806
