Recommendation on the equivalence of confidentiality regimes

Status: Final and translated into the EU official languages

This Recommendation specifies the EBA's opinion on the confidentiality regime of several non-EU supervisory authorities to facilitate their participation in supervisory colleges overseeing international banks, led by EU supervisors. The paper looks at the conditions that need to be met in terms of confidentiality requirements and gives an overview of equivalence to EU standards. The Recommendation is updated in case new information becomes available and if new authorities are assessed.

  • Press Release
EBA updates recommendation on the equivalence of third country confidentiality regimes

EBA updates recommendation on the equivalence of third country confidentiality regimes

20 June 2018

The European Banking Authority (EBA) updated today its Recommendation on the equivalence of confidentiality and professional secrecy regimes by adding three non-EU (third country) supervisory authorities to the current list of third country supervisory authorities whose confidentiality regimes can be regarded as equivalent. The EBA Recommendation is designed as a guide for EU authorities in their assessment of third country equivalence with the aim of facilitating cooperation with third country supervisory authorities and their participation in supervisory colleges overseeing international banks.
 
The EBA's equivalence assessment, which is  based on the relevant provisions of the Capital Requirements Directive (CRD IV), has considered the following third country authorities as equivalent: 
 
  • The Guernsey Financial Services Commission (the Bailiwick of Guernsey);
     
  • The Superintendence of the Financial Services of the Central Bank of Uruguay (the Oriental Republic of Uruguay); and
     
  • The Bank of Korea (the Republic of Korea).
 

Press contacts:

Franca Rosa Congiu

E-mail: press@eba.europa.eu - Tel: +44 (0) 207 382 1772

EBA updates recommendation on the equivalence of supervisory regimes

EBA updates recommendation on the equivalence of supervisory regimes

11 January 2017

The European Banking Authority (EBA) published today an amended Recommendation on the equivalence of confidentiality regimes. Several additional non-EU supervisory authorities were added to the list of non-EU or third country supervisory authorities whose confidentiality regimes can be regarded as equivalent.
 
The EBA Recommendation is designed as a guide for EU authorities in their assessment of the equivalence of confidentiality regimes of third country supervisory authorities to facilitate their participation in supervisory colleges overseeing international banks.
 
The following third country authorities have been added to the Recommendation: the Australian Prudential Regulation Authority, the Reserve Bank of Australia, the Hong Kong Monetary Authority, the Bank of Japan, the Japan Financial Services Agency, and the Central Bank of the Republic of Kosovo. This Recommendation was based on the assessment of the confidentiality regimes and follows the prescriptions in the Capital Requirements Directive (CRDIV) on the participation of third country authorities in EU colleges of banking supervisors.
 

Press contacts:

Franca Rosa Congiu

E-mail: press@eba.europa.eu - Tel: +44 (0) 207 382 1772

EBA includes Bank of Albania in EU supervisory colleges

EBA includes Bank of Albania in EU supervisory colleges

11 September 2015

The European Banking Authority (EBA) added the Albanian banking supervisor to the list of non-EU or third country supervisory authorities participating in EU banking supervisory colleges. The decision was based on the assessment of the confidentiality regime of Bank of Albania, which was deemed equivalent to the EU confidentiality regime, and follows the prescriptions in the Capital Requirements Directive (CRDIV) on participants in EU colleges of banking supervisors.

The EBA informs that it has included the Bank of Albania as a national supervisory authority in the list of non-EU authorities whose confidentiality regime can be considered equivalent to the one prescribed in the EU by the Capital Requirements Directive (CRDIV). This equivalence is the condition for non-EU authorities, like the Bank of Albania, to take part in the work of EU colleges of supervisors, the coordination structures that bring together EU regulatory authorities involved in the supervision of a banking group that operate in more than one country in Europe. The equivalence of confidentiality regimes between EU and non-EU authorities is the fundamental condition to ensure secure and smooth information flows within supervisory colleges.

Like for all other non-EU authorities included in the list, the assessment of Bank of Albania was  in line with Article 116 (6) CRDIV on criteria related to the treatment of confidential information, the requirements for professional secrecy, as well as restrictions on the use and disclosure of confidential information. Ensuring this type of convergence overcomes inconsistencies in supervisory approaches, an aspect that could otherwise hamper the efficient functioning of EU colleges of banking supervisors.

Legal basis

In line with Article 16 of its Founding Regulation (EU) 1093/2010, the EBA updated its Recommendation on the equivalence of confidentiality regimes by including Bank of Albania.  The supervisory authorities to which this EBA Recommendation is addressed to are expected to comply with it and incorporate it into their supervisory practices as appropriate.

Press contacts:

Franca Rosa Congiu

E-mail: press@eba.europa.eu - Tel: +44 (0) 207 382 1772

EBA issues recommendation on equivalence of non-EU authorities for participation in supervisory colleges

EBA issues recommendation on equivalence of non-EU authorities for participation in supervisory colleges

01 April 2015

The European Banking Authority (EBA) published today a Recommendation specifying its opinion on the confidentiality regime of several non-EU supervisory authorities to facilitate their participation in supervisory colleges overseeing international banks, led by EU supervisors. The paper looks at the conditions that need to be met in terms of confidentiality requirements and gives an overview of equivalence to EU standards. This work aims to harmonise the application of Art. 116 (6) of the Capital Requirements Directive (CRD) in the composition of supervisory colleges.

In the Recommendation issued today, the EBA provided an indication of the equivalence of the confidentiality regime of certain non-EU countries to the EU confidentiality regime. The non-EU authorities were reviewed on the basis treatment of the notion of confidential information, professional secrecy requirements, restrictions on the use and disclosure of confidential information. The authorities included come from the following countries: Bosnia and Herzegovina, Brazil, Canada, China, FYR Macedonia, Mexico, Montenegro, Serbia, Singapore, Switzerland, Turkey, and the USA.

The EBA looked specifically at ensuring that each non-EU authority is subject to a confidentiality regime equivalent to the one provided in the EU by the Capital Requirements Directive (CRD). Equivalence of confidentiality regimes of third country supervisory authorities is key to ensure the safe and secure flow of information within that college.  Although the final decision on college membership is for each supervisor, promoting convergence amongst EU authorities is designed to eliminate inconsistencies in approaches, which could ultimately hamper the efficient and timely operation of the colleges of supervisors in the EU.

Next steps

Following the publication of the English version, the EBA will make available, in due course, the translations of these Recommendations in all EU languages. Within two months from the publication of the translated Recommendations, Competent Authorities shall confirm to the EBA their compliance status, which will be disclosed on the EBA website. The recommendations concern exclusively the assessment of the confidentiality regime of those third country supervisory authorities with a view to inform the relevant opinions, which CAs who are members of a college of supervisors, should express as referred to in Article 116 (6) of CRD; the Recommendation is not providing any form of guidance on the appropriateness of such participation as referred to in Article 116 (6): the latter issue remains to be determined by the college of supervisors alone taking into account the overall structure of the supervised group and the legislation applicable.

Legal basis

The recommendations on the equivalence of confidentiality regimes were issued on the basis of Article 16 of Regulation (EU) 1093/2010 establishing the EBA. The EBA expects all CAs to which the Recommendation is addressed to comply with it and to incorporate it into their supervisory practices as appropriate.

Press contacts:

Franca Rosa Congiu

E-mail: press@eba.europa.eu - Tel: +44 (0) 207 382 1772