The European Banking Authority (EBA) published today a list of designated Resolution Authorities. Under the EU framework, each Member State has to designate one or, exceptionally, more Resolution Authorities that are empowered to apply the resolution tools and the resolution powers.
- From a starting point of 13.2% CET1, the stress test demonstrates the resilience of the EU banking sector to an adverse scenario with an impact of 380 bps CET1 on average- The stress test does not contain a pass/fail threshold. It will instead inform supervisors' ongoing review of banks and guide their efforts to maintain capital in the system and support the ongoing repair of balance sheets- Exceptional transparency is provided, with over 16 000 data points per bank, to foster market discipline
The European Banking Authority (EBA) published today the final draft Regulatory Technical Standards (RTS) specifying the assessment methodology competent authorities shall follow in assessing the compliance of an institution with the requirements for the use of the Internal Ratings Based Approach (IRB Approach). The purpose of these RTS is to harmonise the supervisory assessment methodology with respect to the IRB Approach across all Member States in the European Union (EU).
The European Banking Authority (EBA) published today its final draft Regulatory Technical Standards (RTS) specifying the requirements with which payment card schemes and processing entities must comply to ensure the independence of their accounting, organisation, and decision-making processes. These final draft RTS aim at facilitating greater competition among processing services providers, supporting the general objective of the Interchange Fee Regulation (IFR) to create a Single Market for card payments across the EU.
The European Banking Authority (EBA) issued its final draft Regulatory Technical Standards (RTS) on criteria for the application of a preferential treatment in cross-border intragroup credit or liquidity lines, or within an IPS. These RTS further specify the additional criteria listed in the in the context of the liquidity coverage ratio (LCR) Delegated Act for the application of the preferential treatment.
The European Banking Authority (EBA) launched today a consultation on draft Guidelines on credit institutions’ credit risk management practices and accounting for expected credit losses; it follows the publication of Guidance by the Basel Committee in December 2015 on the same matter. These Guidelines aim at ensuring sound credit risk management practices associated with the implementation and on-going application of the accounting for expected credit losses. The consultation will run until 26 October 2016.
The European Banking Authority (EBA) published today an example of the transparency templates, which will be used to disclose the results of the upcoming 2016 EU-wide stress test. These templates are provided for information and to facilitate understanding of the format and type of data that can be expected on Friday 29 July.
The European Banking Authority (EBA) launched today a consultation on its draft Guidelines on the treatment of connected clients for large exposures. These draft Guidelines review and update the ‘Guidelines on the implementation of the revised large exposures regime’ issued by the Committee of European Banking Supervisors (CEBS) on 11 December 2009. Their focus is exclusively on the issue of connected clients as defined in the Capital Requirements Regulation (CRR) and they reflect the developments in the area of shadow banking and large exposures both at EU and international level. The consultation runs until 26 October 2016.
The European Banking Authority (EBA) published today its final Guidelines on the communication between competent authorities supervising credit institutions and statutory auditors of those institutions.
The European Banking Authority (EBA) launched a consultation on its report on the reference point for the target level of national resolution financing arrangements. The appropriateness of the basis for the target level is assessed on the basis of a number of qualitative criteria and historical data. The draft report recommends changing the basis from covered deposits to a total liabilities based measure. The consultation will run until 2 September 2016.
The EBA today issued a report on recent trends in asset quality in the EU banking sector. The analysis is based on supervisory data on non-performing loans (NPLs) and forbearance (FBL) for over 160 EU banks. The report shows that despite improvements NPLs remain high, with associated implications for the economy and bank’s profitability. The report identifies various structural impediments to addressing NPLs and sets out three key areas for improvement.
The EBA announced today that detailed individual results for the banks participating in the 2016 EU-wide stress test, along with detailed balance sheets and exposure data as of end 2015, will be published on Friday 29 July 2016 at 22:00 Central European Summer Time (21:00 British Summer Time).
The European Banking Authority (EBA) published today its second annual Report on the convergence of supervisory practices across the EU. The Report, which is addressed to the EU Parliament and the Council, reviews consistency in the application of the Supervisory Review and Evaluation Process (SREP) and supervisory practices in the assessment of recovery plans. The EBA’s work in supervisory convergence is designed to foster comparable approaches and consistent outcomes in applying the Single Rulebook. This is necessary for a level playing field, effective supervision of cross border groups, and to identify supervisory best practices.
The European Banking Authority (EBA) has received a notification from the Magyar Nemzeti Bank (the Central Bank of Hungary) regarding the termination of the resolution of MKB Bank Zrt.
The European Banking Authority (EBA) published today a draft update of its report on the monitoring of Additional Tier 1 (AT1) instruments last published on 29 May 2015 and proposed draft standardised templates for AT1 instruments
The European Banking Authority (EBA) issued a benchmarking analysis of diversity practices at EU level showing that only a limited number of institutions have already adopted a diversity policy. In particular, the report highlights that the actual level of diversity in the composition of the management body in institutions differs significantly between Member States, namely regarding the gender diversity. The Authority calls on institutions and Member States to consider additional measures for promoting a more balanced representation of both genders. The report is based on data from 873 institutions from 29 EU and EEA Member States, and covers credit institutions of different sizes as well as investment firms.
The European Banking Authority (EBA) published today the periodical update of its Risk Dashboard summarising the main risks and vulnerabilities in the EU banking sector on the basis of a set of Risk Indicators in Q1 2016. Together with the Risk Dashboard, the EBA published, for the first time, the results of a Risk Assessment Questionnaire, which it conducted with banks and market analysts in April and May this year.
The European Banking Authority (EBA) published today the periodical update of its Risk Dashboard summarising the main risks and vulnerabilities in the banking sector on the basis of the evolution of a set of Risk Indicators (RI) across the EU in Q4 2015. The update shows a further increase in EU banks’ capital ratios. Profitability remains low and NPL ratios are still high.
The European Banking Authority (EBA) announced today that it will be conducting a transparency exercise in December 2016 on a wide sample of over 100 banks, which will provide actual information on banks’ balance sheet based on supervisory reporting data. Transparency exercises are an annual feature of the EBA’s work but this year’s exercise will be independent from, whilst complementary to, the 2016 EU-wide stress test. This will ensure appropriate coverage of banks across all countries in the EU.
The European Banking Authority (EBA) published today a comparative Report on governance arrangements and indicators in recovery plans. Such a benchmarking exercise is aimed at supporting supervisors and institutions in identifying the crucial elements that should be considered when designing credible governance arrangements and effective indicator frameworks. This is the third thematic comparative analysis the EBA has conducted in the area of recovery planning.