2019-2020 Annual Report and Statement of Accounts

FINANCIAL SECTOR STABILITY Inaugural Conference with Financial Institutions

Panels on Sub-Themes in Session

I n accordance with the Bank’s thrust toward the stability of the entire financial sector, the ECCB hosted its Inaugural Conference with Financial Institutions over the period 6 to 8 November 2019. The Conference replaced the Annual Conference with Commercial Banks which the Bank held over the past 29 years. The Inaugural Conference with Financial Institutions was held under the theme: A Region for the Future: Charting New Pathways in an Era of Disruption , which was inspired by the rapid pace of change in the financial sector in the 21 st century. The sub-themes focused on: (i) Banking and Finance in a Period of Climate Change; (ii) Harnessing the Power of Technology: The Drive for Constant Innovation; (iii) ECCB Digital Currency: Risks and Rewards; and (iv) Banking Medical Cannabis: Farfetched or Feasible? Panel 1 - Banking and Finance in a Period of Climate Change The discussions highlighted the economic and financial consequences of climate change and the resulting climate risk present in the financial system of the vulnerable countries of the ECCU. Panelists also offered suggestions for embedding climate risk into financial policy. From a different perspective on the topic, the changing technological environment was also considered. Panel 2 - Harnessing the Power of Technology: The Drive for Constant Innovation In examining technology and innovation in the financial sector, the panellists discussed trends in financial technology over time; the need to tailor technological solutions to consumer needs; using technology to facilitate greater financial inclusion; and potential disruptive changes to banking in the future. Panel 3 - ECCB Digital Currency: Risks and Rewards During this session the merits and demerits of central bank digital currencies and implementation considerations were explored. An update on the ECCB Digital Currency Pilot was also provided. Panel 4 - Banking Medical Cannabis: Farfetched or Feasible? The discussions surrounding medical cannabis as a potential sector for the region highlighted the global legislative landscape, the experience of Saint Vincent and the Grenadines in developing this sector and the associated challenges and risks. The Conference concluded with a closed business session with commercial banks, Non-Bank Financial Institutions, and representatives from the ECCU Ministries of Finance and the Eastern Caribbean Central Bank.

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