In Austria, banking and other financial services are regulated by the Austrian Financial Market Authority (Finanzmarktaufsichtsbehörde or FMA), in cooperation with the Austrian National Bank (Oesterreichische Nationalbank or OeNB).

The FMA is responsible for the authorization and supervision of banks, providers of insurance services and other financial institutions, to the extent such authority does not vest with the European Central Bank (ECB). In this regard, the FMA performs solvency supervision, market and conduct supervision as well as supervision of compliance with anti-money laundering provisions. The FMA is authorized to conduct on-site inspections at financial services providers. The FMA may pass legally binding regulations (Verordnungen) on the basis of existing laws. It also regularly issues rules and guidelines (Rundschreiben), which are not legally binding, but set out FMA’s legal position on particular regulatory matters and should be observed by the supervised institutions.

The OeNB is responsible for the macro-economic supervision of the banking and financial services industries in Austria. As such, the OeNB in particular monitors and analyzes the Austrian financial market and is consulted by the FMA in many of the latter’s proceedings.

The supervisory authorities of the European Union (i.e., the European Banking Authority, the European Securities and Markets Authority, and the European Insurance and Occupational Pension Schemes Authority) play an important role in the supervision process, especially as they are responsible for issuing guidelines, recommendations and technical standards in relation to EU legislation.

Pursuant to the Single Supervisory Mechanism (SSM) introduced by Council Regulation (EU) No 1024/2013, the ECB is responsible for monitoring the financial stability of banks in the Eurozone (including Austria). Under the SSM, the ECB — in cooperation with the respective national supervisory authorities — directly supervises (groups of) so-called significant credit institutions, which are deemed to be relevant to the functioning of the Eurozone banking system. Seven Austrian banks qualify as significant institutions. All significant institutions are listed on the European Commission’s website. The other credit institutions continue to be subject to supervision by the FMA and will only be indirectly supervised by the ECB.