The four bodies currently overseeing the Czech financial market will gradually merge over the coming years, resulting in one institution overseeing the market by 2009 or 2010, according to the Finance Ministry, the Czech National Bank (CNB) and the Czech Securities Commission (KCP).
The streamlining will take place in two phases. The first phase will create a two-pillar system, with the merger of supervision for credit unions and banks, and the merger of supervision responsibilities for insurance companies and pension funds. These steps should be realised in 2006.
The second phase will see the two resulting supervisory authorities merged into one entity ahead of the adoption by the Czech Republic of the common European currency, in 2009 or 2010.
