Friday, November 10, 2023

Section 17 of the National Credit Act (NCA) of South Africa. This section outlines the relationship between the National Credit Regulator (NCR) and other regulatory authorities, both within South Africa and internationally. The key points are as follows:


 

1. **Cooperative Activities with Provincial Credit Regulators (Section 17(1) and (2)):**

    1.1. The NCR may engage in cooperative activities like research, publication, education, staff development, and training with provincial credit regulators upon their request.

    1.2. These activities can also include staff exchanges, secondments, and providing technical assistance or expertise, subject to consultation with the Minister.

    1.3. The NCR is also empowered to cooperate in detecting and suppressing prohibited conduct within a province or across provincial boundaries.


2. **Mandatory Cooperation Directed by the Minister (Section 17(3)):**

    2.1. Upon the Minister's direction, the NCR must engage with provincial credit regulators to detect and suppress prohibited conduct.


3. **Liaison and Agreements with Regulatory Authorities (Section 17(4)):**

    3.1. The NCR must liaise with any regulatory authority on matters of common interest.

    3.2. It is required to enter into agreements to coordinate jurisdiction over consumer credit matters and ensure consistent application of the NCA's principles.

    3.3. The NCR can participate in proceedings of any regulatory authority and exchange advice.

    3.4. Specifically, the NCR must notify the Registrar of Banks before investigating a bank.


4. **Jurisdiction of Regulatory Authorities (Section 17(5)):**

    4.1. Regulatory authorities with jurisdiction over consumer credit matters must enter into agreements with the NCR.

    4.2. They may exercise their jurisdiction in respect of particular matters through such agreements.


5. **Information Exchange (Section 17(6) and (7)):**

    5.1. The NCR can request reports or information from provincial credit regulators.

    5.2. The President may assign the NCR duties related to international information exchange agreements.


6. **International Liaison (Section 17(8)):**

    6.1. The NCR may liaise with foreign or international authorities with similar objectives.


This section of the NCA facilitates cooperation and information sharing between the NCR and other regulatory bodies, ensuring a harmonized approach to regulating consumer credit matters. The amendments made by Act 19 of 2014, particularly in subsections 17(4) and 17(5), emphasize the importance of collaboration and consistent application of the Act's principles across different jurisdictions and sectors. 


Commencement of Section 17 was on 1 June 2006.

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