NEW YORK (Thomson Reuters Regulatory Intelligence) - Ten years after the financial crisis, the resulting push for global regulatory harmony is giving way to divergent stances on the need for compliance, according to the Thomson Reuters Special Report: “State of Regulatory Reform 2018”. Long-awaited major reforms are taking effect in the EU, while in the United States the Trump Administration is rolling out its deregulatory agenda set a year ago, and Asian regulators are moving to address the challenges posed by fintech and blockchain. Compliance officers and regulatory professionals everywhere are bracing to address these changes, and keep up with the unbridled development of digital technology as it affects their operations.The 60-page report offers an in-depth look at each of the world’s financial regions in turn, summarizing the key regulatory changes underway and offering insights into the regulatory events that may shape the year ahead. “In 2018, compliance officers are putting the theories of regulatory change into reality. The Markets in Financial Instruments Directive II is now in effect and the General Data Protection Regulation is looming. These are significant challenges both in Europe and well beyond its borders,” said Alexander Robson, editor in chief, Thomson Reuters Regulatory Intelligence in London.
“Political shifts are also driving regulatory change. Beyond an agreed financial settlement, the UK and EU have yet to reach terms for their planned divorce and how that will affect the provision of financial services. After Britain exits, passporting likely will be history and any structure for recognizing regulatory equivalence, whilst logical, is some way from being decided between both parties.“In the U.S., President Trump is working to reshape the post-crisis regulatory landscape put in place by the Dodd-Frank Act, even as Congress is gridlocked. His financial agencies are implementing the president's deregulatory agenda with an ambitious strategy that includes pressuring budgets, halting rules in the pipeline, revised enforcement policies and other bureaucratic tools. “As if that wasn’t enough, fintech is developing at a speed that demands attention, while regulators also have to contend with the spread of cryptocurrencies and their associated risks.”A free copy of the report, "State of Regulatory Reform 2018" can be downloaded here: tmsnrt.rs/2nvH9P5.