Bank of England
The Bank of England (BoE) is the central bank of the United Kingdom. The Bank was founded in 1694 with a founding charter that stated its purpose was to “promote the public good and benefit of our people”.
Since the financial crash of 2008, the Bank of England along with other central banks has been introducing financial stability back into the UK banking sector.
The financial crash of 2008 left the global banking community and national governments facing many major problems. One of these problems was being able to understand and quantify the amount of financial risk that legal entities, a company or institution, can afford through assessing it’s exposure to other legal entities. Additionally, in a wider context, how the aggregation of entities’ risk values would impact the financial systems and economies of countries, or trading areas, across the world.
The Director of Financial Stability at the BoE recognised the financial system and modern banking is crucially reliant on data, and the flow of data across these countries and areas. There was also a recognition that the risk to banking operations increases unless the assets and infrastructure that support the flows of data is understood, communicated and managed effectively.
During the summer of 2012, OBASHI Ltd, was asked by the Bank of England to attend the G20 meetings held by the Financial Stability Board (FSB) at the Federal Reserve Bank of New York and at the FSB HQ in Basil.
The FSB organised the meetings in response to a call from the leaders of the G20 nations to proceed with development of a Legal Entity Identifier (LEI) – a “unique identification system for parties to financial transactions.”
The FSB sought to capture the knowledge and ideas of specialists from a wide range of industries and professions.
A global online forum was created and regular teleconference meetings took place between participants.
A report of how the OBASHI Methodology and data flow analytical capabilities of an OBASHI model would help the LEI project from conceptual design through to business operations and governance was presented to the Bank of England.
Three task groups were established for the G20 / Financial Stability Board LEI project, and OBASHI was invited to participate two of these advisory teams: the Operations team and the Governance & Legal team.
The project is ongoing, with OBASHI having now been invited onto the remaining advisory team covering Data Hierarchy.
- The Bank of England (BoE) is the central bank of the United Kingdom
- G20/FSB sanction the global Legal Entity Identifier (LEI) project – a “unique identification system for parties to financial transactions.”
- The Director of Financial Stability at the BoE recognised banking is reliant on data, and the flows of data
- OBASHI Ltd. was invited to participate in the LEI Operations and Governance advisory teams
- OBASHI Ltd. invited onto the remaining advisory team covering Data Hierarchy