Featured Product

    ECB Expects Integrated Reporting Framework to Go Live in 2027

    December 17, 2021

    The European Central Bank (ECB) is taking the next step in the project to develop the integrated reporting framework or IReF. Following an industry-wide consultation, ECB is now launching the design phase of the project, which is expected to go live in 2027. This timeframe will enable reporting agents and the European System of Central Banks (ESCB) to undertake the necessary technical work. One of the next steps in the project will be to draft an ECB regulation, which is expected to be adopted in 2024. In parallel, the ESCB will continue cooperating with the European Banking Authority, the European Commission, and the Single Resolution Board to harmonize the reporting of all (statistical, prudential, and resolution) data that banks have to provide to the European authorities. Post an industry consultation, ECB also published a report on the cost-benefit assessment on the integrated reporting framework.

    The integrated reporting framework will ensure a common understanding of the statistical terms and standardize the information that banks are required to provide to their respective central banks. This harmonized statistical reporting system is intended to make it easier for banks to report statistical data to the ESCB and to reduce their reporting burden by leveraging digitalization and state-of-the-art production organization; the system will also facilitate policymaker analysis and data comparison. As part of the consultation, banks were asked to assess the costs and benefits of the system and the results show that nearly two-third of the banks believed that the benefits of this would outweigh the costs. The integrated reporting framework seeks to integrate the existing ESCB statistical data requirements for banks, as far as possible, into a unique and standardized reporting framework that is applicable across the euro area. In its initial phase, the integrated reporting framework is focusing primarily on the ECB statistical datasets related to banks; thus, it will cover the requirements of ECB regulations on balance sheet items (BSI) and interest rates (MIR) of monetary financial institutions statistics, the sectoral module of Securities Holdings Statistics (SHS-S), and granular credit and credit risk data (AnaCredit). In respect of SHS-S, the framework will also cover requirements for banks in their role as custodians. The integration of the group module of the SHS will be considered in a second step, while other ECB statistics that do not directly relate to banks’ balance sheet assets and liabilities, such as ECB payments or money market statistics, are not currently covered by the integrated reporting framework.

    The integrated reporting framework also envisages the integration of reporting obligations on banks’ own positions and transactions arising in the context of statistics on balance of payments (b.o.p.), international investment positions (i.i.p.), financial accounts and securities issued. Other requirements arising from the collection frameworks of international organizations (for example, BIS Locational Banking Statistics or IMF Standardized Report Forms) are also considered. The granularity of the reporting framework scheme is expected to cover a large share of the existing statistics collected by national central banks that are outside the scope of ECB regulations. Nevertheless, the national central banks may decide to preserve country-specific requirements, for example,. to comply with national legal obligations (such as activities related to anti-money laundering or government support). Such requirements will not be covered under the integrated reporting framework, but will continue to be legislated at the national level. However, these requirements will ideally be modeled and described from a technical and methodological perspective in full consistency with the integrated reporting scheme through the development of an integrated reporting framework extended technical layer. In this way, overlapping requirements across two or more countries will be described in a uniformly in consistency with the integrated reporting framework requirements.

     

    Related Links

    Keywords: Europe, EU, Banking, Guidance, ESG, Basel, Reporting, AnaCredit, SHS, Statistical Reporting, Integrated Reporting Framework, Credit Risk, BSI, ESCB, Banking Supervision, IReF, ECB

    Featured Experts
    Related Articles
    News

    EC Regulation Sets Out Methods for Measuring K-Factors Under IFR

    The European Commission (EC) published the Delegated Regulation 2022/25, which supplements the Investment Firms Regulation (IFR or Regulation 2019/2033) with respect to the regulatory technical standards specifying the methods for measuring the K-factors referred to in Article 15 of the IFR.

    January 11, 2022 WebPage Regulatory News
    News

    BIS Studies How Platform Models Impact Financial Stability & Inclusion

    The Bank of International Settlements (BIS) published a paper that assesses the ways in which platform-based business models can affect financial inclusion, competition, financial stability and consumer protection.

    January 10, 2022 WebPage Regulatory News
    News

    ESAs Publish List of Financial Conglomerates for 2021

    The European Supervisory Authorities (ESAs) published the list of identified financial conglomerates for 2021.

    January 07, 2022 WebPage Regulatory News
    News

    APRA Licenses Two More Banks, Reduces Committed Liquidity Facility

    The Australian Prudential Regulation Authority (APRA) granted license to Barclays Bank PLC and Crédit Agricole Corporate and Investment Bank to operate as foreign authorized deposit-taking institutions under the Banking Act 1959.

    January 06, 2022 WebPage Regulatory News
    News

    EU Issues SII Corrigendum; EIOPA Assesses SII Reporting Exemptions

    EU published, in the Official Journal of the European Union, a corrigendum to the Delegated Regulation 2015/35, which supplements Solvency II Directive (2009/138/EC).

    January 06, 2022 WebPage Regulatory News
    News

    EBA Opines on Impact of De-Risking and Associated AML/CFT Challenges

    The European Banking Authority (EBA) published an Opinion on the scale and impact of de-risking in European Union and the steps that competent authorities should take to tackle unwarranted de-risking.

    January 05, 2022 WebPage Regulatory News
    News

    French Financial Markets Authority Sets Out Priorities for 2022

    The French Financial Markets Authority (AMF) published its 2022 work priorities, along with the supervisory priorities for 2022.

    January 05, 2022 WebPage Regulatory News
    News

    US Agencies Issue Statement on Community Bank Leverage Ratio Framework

    The U.S. Department of the Treasury issued a determination on a request for an exemption, by RBC US Group Holdings LLC, from certain requirements of the rule implementing the qualified financial contracts (QFC) recordkeeping requirements under the Dodd-Frank Act.

    January 04, 2022 WebPage Regulatory News
    News

    FCA Informs About Changes to LIBOR Settings From End-2021

    The Financial Conduct Authority (FCA) announced that publication of 24 LIBOR settings has ended and that, going forward, the 6 most widely used sterling and Japanese yen settings will be published using a changed methodology.

    January 04, 2022 WebPage Regulatory News
    News

    PBC Sets Out Fintech Development Plan for 2022 to 2025

    The People’s Bank of China (PBC) formulated the recently issued Fintech Development Plan (2022 to 2025) under the Outline of the 14th Five-Year Plan (2021-2025) for National Economic and Social Development and the Long-Range Objectives through the Year 2035.

    January 04, 2022 WebPage Regulatory News
    RESULTS 1 - 10 OF 7854