internal financial supervision
Prudential and Financial Resolution Authority
If Candeia comes to operate internal financial services, supervise the safety and continuity of those institutions, including market entry, risk monitoring and the orderly resolution of problems.
Pre-Foundation · permanent institution not installedConstitutional Proposal · reference text · not promulgated
Why it exists
If credit, custody or other internal financial services are activated, someone must oversee solvency, risk and orderly exit without confusing an attractive interface with actual safety.
How it reduces financial risk within Candeia
Supervise financial institutions to reduce risks to the public and the system. This includes authorising who may operate, monitoring financial soundness, acting early when problems arise and organising an orderly exit when an institution cannot continue.
Licensing and microprudential supervision. Early intervention and resolution of covered institutions. Institutional protection of client assets and continuity of critical financial functions.
A five-member board: 1 elected by the Assembly by a three-fifths majority; 1 appointed by the President; 1 chosen by the Court of Audit; 1 by the Independent Fiscal Council; and 1 by the Constitutional Appointments Commission by a six-ninths majority after a public process.
No source appoints more than one member. The PFRA Chair is elected internally for three years, without extending the member’s individual term.
Single, staggered seven-year terms.
The Government, Central Bank, Treasury, parties, supervised entities, creditors, investors, providers, Founder or private persons may not direct an individual supervisory or resolution decision.
The financial and budget-protection regime of Arts. 254 to 268 applies in full.
By decision of 6 of the 9 members of the Constitutional Court, on the grounds set out in Art. 266 and on the initiative of those entitled under Art. 268-A.
Judicial review, audit, separation between ordinary supervision and resolution, and non-hierarchical cooperation with the Central Bank, Fiscal Council, Court of Audit and other authorities.
A public register of licensed institutions, authorised activities, restrictions and status; regulatory decisions, reports and resolution documents to the extent they may lawfully be published.
It does not set monetary policy, issue currency, administer the Treasury or turn an internal licence into external authorisation.
What it supervises in practice
- Licensing and microprudential supervision.
- Early intervention and resolution of covered institutions.
- Institutional protection of client assets and continuity of critical financial functions.
Internal supervision is not an external licence
The PFRA does not set monetary policy, issue currency, administer the Treasury or turn an internal authorisation into financial permission outside Candeia.