PERU Law and Practice Contributed by: Andrés Kuan-Veng and Luis Ernesto Marín, Rubio Leguía Normand
and supervises holding companies of financial institutions. Banks, financial institutions and insurance companies are required to report rel - evant information periodically to enable off-site evaluation of financial performance, including audited financial statements, board reports and auditors’ reports. The SBS also conducts annual on-site examinations and ensures compliance with the Law. Violations of financial system regu - lations may lead to sanctions, including fines, licence revocation or sanctions against com - pany directors and officers. Banco Central de Reserva del Perú (BCRP) The BCRP is responsible for setting Peru’s mon - etary policy. It manages the country’s interna - tional reserves, publishes financial data, and is the sole issuer of the national currency. While not directly overseeing financial institutions, the BCRP plays a critical role in regulating monetary aspects affecting banks, as well as payment systems. Regulations issued by the BCRP, as part of its duties, are mandatory for companies within the financial system. Superintendencia del Mercado de Valores (SMV) The Superintendencia del Mercado de Valores, formerly known as CONASEV ( Comisión Nacion- al Supervisora de Empresas y Valores ), regulates Peru’s securities market, promoting, overseeing and controlling entities involved in this market. It ensures compliance with the Peruvian Ley del Mercado de Valores (the Securities Market Law) and imposes sanctions for non-compliance. As provided by the Peruvian Banking Law, bank - ing, financial and leasing companies, as well as insurance companies, are required to list the shares representing their capital stock on a stock exchange before commencing opera - tions. Additionally, the SBS has the authority to mandate the listing of shares for companies not
covered under the aforementioned requirement if deemed necessary.
2. Authorisation 2.1 Licences and Application Process The procedure for establishing a new financial institution in Peru is governed by the Peruvian Banking Law and the Reglamento de autori- zación de empresas y representantes de los Sistemas Financieros y de Seguros . To establish a financial institution in Peru, enti - ties must obtain prior authorisation from the SBS. This requirement applies to both local and foreign entities wishing to operate as banks or financial institutions. The SBS evaluates the entry of new companies into the financial sys - tem considering the economic feasibility of the project, as well as the suitability and economic solvency of shareholders, beneficial owners, directors and key executives. The financial institutions authorisation regime in Peru is structured to ensure that new financial institutions meet stringent regulatory standards before commencing operations. The authorisation process comprises two dis - tinct stages: organisation licensing and operat - ing licensing, along with an optional preliminary stage involving a pre-application meeting to present the business model and understand the
regulator’s expectations. Organisation Licensing
The first approval procedure is organisation licensing, which involves screening the share - holders and organisers of the financial entity to be incorporated. It also includes an analysis of the feasibility study for the financial entity, aimed
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