Cooperation with other authorities

Financial markets are closely interconnected in terms of cross-border activities. A crisis in a single institution or a foreign bank may quickly spread to the entire Danish financial sector. That is why Danmarks Nationalbank collaborates closely with other national and international authorities and organisations on financial stability and financial crisis management.

Danmarks Nationalbank collaborates closely with other national and international authorities and organisations on financial stability and financial crisis management. Among the most important collaborations are:

  • The Systemic Risk Council

  • The Financial Sector forum for Operational Resilience, FSOR

  • The Coordination Committee on Financial Stability

  • The Nordic-Baltic cooperation

  • The European Systemic Risk Board, ESRB

  • The European Banking Authority, EBA, and the European Securities and Markets Authority, ESMA

  • The Bank for International Settlements, BIS

National collaborations on financial stability

The Systemic Risk Counsil

The Systemic Risk Council is an advisory body that aims to prevent and reduce systemic financial risks that may put economic development under stress. Read more about Danmarks Nationalbank's participation in The Systemic Risk Counsil.

Operational resilience collaboration (FSOR)

The FSOR is a public-private collaboration forum in the financial sector, and its objective is to enhance operational resilience across the sector, including resilience to cyberattacks. Read more about FSOR.

The Coordination Committee on Financial Stability

The Danish authorities have established a joint forum for authorities on financial stability. Its participants are the Ministry of Industry, Business and Financial Affairs, the Ministry of Finance, the Danish Financial Supervisory Authority, Financial Stability and Danmarks Nationalbank. The purpose of this forum is to promote coordination among the authorities in ensuring financial stability. The Ministry of Industry, Business and Financial Affairs chairs the Committee.

The Coordination Committee on Financial Stability is composed of representatives from the five above authorities, and open to other relevant authorities by invitation. The Permanent Secretary of the Ministry of Industry, Business and Financial Affairs is responsible for the chairmanship. The aim of the collaboration is to maintain financial stability and coordinate the parties’ financial crisis management, should a crisis occur.

It is not up to Danmarks Nationalbank to supervise the individual financial institutions. In Denmark, this is the remit of the Danish Financial Supervisory Authority.

International collaborations on financial stability

The Nordic-Baltic cooperation

A formalised cooperation agreement has been concluded with the Nordic and Baltic authorities, see the box on the right. Similarly, an agreement has been concluded between the authorities of EU member states on cross-border financial stability. The agreements define the framework for Danmarks Nationalbank’s cooperation with these authorities on financial stability and crisis management.

Danmarks Nationalbank is also party to an agreement on the principles for cooperation in the exchange of currency with the central banks of Norway and Sweden.

The European Systemic Risk Board, ESRB

Danmarks Nationalbank is a member of the European Systemic Risk Board, ESRB, which is tasked with monitoring, identifying and mitigating systemic risks across the EU. Danmarks Nationalbank contributes to the work of the ESRB through active participation in relevant committees and working groups.

The European Banking Authority, EBA, and the European Securities and Markets Authority, ESMA

In addition to the ESRB and the BIS, Danmarks Nationalbank participates as an observer in the main decision-making body (BoS) and certain working groups of the European Banking Authority, EBA, as well as a few working groups of the European Markets and Securities Authority, ESMA.

The Bank for International Settlements, BIS

Danmarks Nationalbank is a member of the Bank for International Settlements and is represented in certain relevant working groups working on the development of standardised financial regulation and an international level playing field. Read more about Danmarks Nationalbank's cooperation with Bank for International Settlements.

Cooperation agreements

Read more