Serbia consults on EU-style rules for financial conglomerates

Serbia is moving toward an EU-style supervisory model for complex, multi-activity financial groups, with the National Bank of Serbia (NBS) opening a public consultation on a new Draft Law on Financial Conglomerates. The initiative matters for investors and regulated firms because it would extend oversight beyond individual institutions to the group level—an approach European regulators have long associated with tighter control of systemic and contagion risks.

Draft law aims to mirror EU supplementary supervision

The NBS said the proposed legislation is intended to harmonize Serbia’s regulatory framework with EU Directive 2002/87/EC, which sets out supplementary supervision for credit institutions, insurance companies and investment firms that operate within financial conglomerates. Under the draft, Serbia would create a formal structure for identifying financial conglomerates and applying additional supervisory oversight to regulated entities active across multiple parts of the financial sector.

In particular, the draft law targets groups that combine banking, insurance and investment activities through interconnected ownership or management structures. These are the types of arrangements European regulators typically view as carrying higher systemic spillover potential, given how risks can travel across subsidiaries and business lines.

Linked to EU accession obligations and consolidated risk monitoring

The consultation is tied to Serbia’s obligations under Chapter 9 of the EU accession negotiations, covering financial services regulation. In practical terms, the legislation would strengthen consolidated supervision requirements, including risk monitoring and capital adequacy oversight across diversified financial groups operating in Serbia.

Regulatory shift comes as Serbia modernizes its financial system

The announcement arrives amid broader modernization in Serbia’s financial sector, driven by growth in digital payments, increasing cross-border financial integration and continued regulatory convergence with EU banking standards. On the same day the draft law was published, the central bank also reported a new daily record in Serbia’s instant payment system—an indicator of how quickly parts of the country’s financial infrastructure are evolving alongside regulatory changes.

Potential compliance implications for banks, insurers and investment firms

If adopted through Serbia’s legislative process after the consultation period ends, banks, insurers and investment firms operating in Serbia could face gradually higher compliance expectations. The NBS highlighted areas such as governance structures, intra-group exposure reporting, capital allocation and controls aimed at limiting risk concentration.

For larger banking groups with regional ownership structures, additional reporting obligations may be introduced to improve supervisory transparency and help prevent systemic spillover risks between financial subsidiaries.

Consultation open until 25 May 2026

The public consultation remains open until 25 May 2026. After that date, the draft is expected to move further into Serbia’s legislative procedure as part of its ongoing effort to align its financial-sector rules more closely with European Union standards.