The legal basis for oversight is laid down in Section 1 of the Norges Bank Act, which states that the Bank shall “promote an efficient payment system domestically as well as vis-à-vis other countries”. In addition, the Payment Systems Act confers upon Norges Bank a particular responsibility for licensing and supervising systems for clearing, settlement and transfer of funds between credit institutions (interbank systems).
Oversight and supervision of interbank systems is based on international recommendations. Especially important here are the core principles developed by the BIS Committee on Payment and Settlement Systems (CPSS). These principles for securities-settlement were drawn up by the CPSS and the International Organization of Securities Commissions (IOSCO).
Norges Bank’s oversight of licensed interbank payment systems is conducted by means of reporting requirements and supervisory meetings. There are two licensed interbank systems: the Norwegian Interbank Clearing System (NICS) and the privately owned settlement bank DnB NOR. The privately owned settlement bank Sparebank1 Midt-Norge is exempt from the licensing requirement..