ESMA issued a public statement to promote, amid the COVID-19 crisis, a coordinated action by national competent authorities regarding the timeliness of fulfilling external audit requirements for interest rate benchmark administrators and interest rate benchmark contributors. These requirements are set out in the Benchmarks Regulation. ESMA expects the national competent authorities not to prioritize supervisory actions against administrators and supervised contributors with regard to the timeliness of fulfilling the audit requirements where the audits are carried out by September 30, 2020.
Furthermore, ESMA encourages national competent authorities to generally apply a risk-based approach in the exercise of supervisory powers in their day-to-day enforcement of the Benchmarks Regulation in a proportionate manner (concerning the timeliness of fulfilling those audit requirements). Also, where administrators and supervised contributors reasonably anticipate that the fulfillment of the audit requirements will be delayed, they are expected to inform their national competent authorities. This statement is being issued in accordance with Article 31(2) of the ESMA Regulation.
Keywords: Europe, EU, Banking, Securities, COVID-19, Benchmarks Regulation, National Competent Authorities, Interest Rate Benchmarks, Benchmark Administrator, ESMA
Previous ArticleCFTC Adopts Amendments to Margin Requirements for Uncleared Swaps
EBA published phase 2 of the technical package on the reporting framework 2.10, providing the technical tools and specifications for implementation of EBA reporting requirements.
FASB issued a proposed Accounting Standards Update that would grant insurance companies, adversely affected by the COVID-19 pandemic, an additional year to implement the Accounting Standards Update No. 2018-12 on targeted improvements to accounting for long-duration insurance contracts, or LDTI (Topic 944).
APRA updated the regulatory approach for loans subject to repayment deferrals amid the COVID-19 crisis.
BCBS and FSB published a report on supervisory issues associated with benchmark transition.
IAIS published a report on supervisory issues associated with benchmark transition from an insurance perspective.
ESMA updated the reporting manual on the European Single Electronic Format (ESEF).
EBA published a statement on resolution planning in light of the COVID-19 pandemic.
ECB published a guideline (2020/97), in the Official Journal of European Union, on the definition of materiality threshold for credit obligations past due for less significant institutions.
FED temporarily revised the capital assessments and stress testing reports (FR Y-14A/Q/M) to implement the changes in response to the COVID-19 pandemic.
BCBS Finalizes Revisions to Credit Valuation Adjustment Risk Framework