DNB issued the banking and insurance newsletters for April 2019. The newsletters highlight that Dutch Authority for the Financial Markets (AFM) and DNB want to make banks, insurers, and pension funds aware of the risks and the importance of the transition to alternative, risk-free benchmarks (expected in 2022). The supervisors request market parties to analyze the risks of the transition and to take appropriate action, so that they are prepared in time.
The banking newsletter also highlights that DNB has decided to adopt a Belgian macro-prudential measure for the mortgage market. Dutch banks, using internal ratings-based (IRB) approach, that have more than EUR 2 billion in Belgian residential mortgages through branches or directly across borders must apply a higher risk-weight. The additional key highlights of the newsletters include: an update on the study conducted by DNB on management of counterparty credit risk on healthcare providers at four healthcare insurers; recent relevant publications by ECB, EBA, EC, and other international forums; and an updated calendar for banks
Keywords: Europe, Netherlands, Banking, Insurance, Newsletter, QIS Calendar, IRB, Benchmarks, DNB
BCBS is consulting on the principles for operational resilience and the revisions to the principles for sound management of operational risk for banks.
The Financial Stability Institute (FSI) of BIS published a brief note that examines the supervisory challenges associated with certain temporary regulatory relief measures introduced by BCBS and prudential authorities in response to the COVID-19 pandemic.
HKMA, together with the Banking Sector Small and Medium-Size Enterprise (SME) Lending Coordination Mechanism, announced a ninety-day repayment deferment for trade facilities under the Pre-approved Principal Payment Holiday Scheme.
The Advisory Scientific Committee of ESRB published a response, in the form of an Insights Paper, to the EBA proposals for reforms to the stress testing framework in EU.
MAS announced several initiatives to support adoption of the Singapore Overnight Rate Average (SORA), which is administered by MAS.
BoE updated the reporting template for Form ER as well as the Form ER definitions, which contain guidance on the methodology to be used in calculating annualized interest rates.
PRA published the policy statement PS19/20 on the final policy for extending coverage under the Financial Services Compensation Scheme (FSCS) for Temporary High Balance.
EBA published the final draft implementing technical standards for disclosures and reporting on the minimum requirements for own funds and eligible liabilities (MREL) and the total loss-absorbing capacity (TLAC) requirements in EU.
EBA published an erratum for the phase 2 of technical package on the reporting framework 2.10.
EC published the Implementing Regulation 2020/1145, which lays down technical information for calculation of technical provisions and basic own funds.