SRB Outlines Upcoming Work Priorities, Issues MREL Dashboard
The Single Resolution Board (SRB) published the dashboard on minimum requirement for own funds and eligible liabilities (MREL), for the third quarter of 2021. The dashboard shows that shortfall against the 2024 final target reduced in the reporting period, with most banks either closing or reducing their shortfalls against the 2022 intermediate target. In a separate development, the SRB Chair discusses the key priorities for 2022, noting that SRB will continue to work with European partners on completing the Banking Union, including finding an institutional solution for liquidity in resolution, progressing on a common deposit guarantee system, and working on a European framework for bank insolvency.
The three key priorities or resolutions for 2022 involve:
- MREL build-up—Banks have been able to raise capital and debt instruments and build up further the necessary MREL buffers at record low interest rates. SRB will encourage all banks to continue to build up their MREL and fulfill requirements of the January 2022 intermediate MREL target and the 2024 final MREL target.
- Separability and reorganization plans—For mid-size banks, SRB is prioritizing the work on transfer tools, separability, and adjustments of MREL for such transfer tools. During 2021, SRB issued a guidance note on separability and plans to continue work on this area in 2022.
- Management information systems—SRB will prioritize the reorganization efforts of banks to become more efficient and customer-focused. Information technology and cyber risk management, will be a key priority, for banks to benefit from resolution planning and crisis preparedness.
In addition to these, a more transparent assessment of resolvability has long been a key priority for SRB. SRB has defined a heatmap as a tool to monitor, benchmark, and communicate the progress of banks toward full resolvability. SRB is evaluating the first cross-cutting assessment based on the progress made by banks so far in the form of such heatmap, and plans to publish an aggregated heatmap by the end of 2022.
Related Links
Keywords: Europe, EU, Banking, MREL, MREL Dashboard, Work Priorities, Basel, Regulatory Capital, Resolution Framework, Banking Union, Deposit Guarantee Mechanism, SRB
Featured Experts

María Cañamero
Skilled market researcher; growth strategist; successful go-to-market campaign developer

Nicolas Degruson
Works with financial institutions, regulatory experts, business analysts, product managers, and software engineers to drive regulatory solutions across the globe.

Patrycja Oleksza
Applies proficiency and knowledge to regulatory capital and reporting analysis and coordinates business and product strategies in the banking technology area
Previous Article
OCC Bulletin Sets Out Risk Management Principles for SBA LendingRelated Articles
EU Agencies Update LCR Rule and Macro-Prudential Policy Recommendation
The European Commission (EC) published the Delegated Regulation 2022/786 with regard to the liquidity coverage requirements for credit institutions under the Capital Requirements Regulation (CRR).
EBA Publishes Regulatory Standards to Identify Shadow Banking Entities
The European Banking Authority (EBA) published the final draft regulatory technical standards specifying the criteria to identify shadow banking entities for the purposes of reporting large exposures.
EIOPA Examines Physical Climate Risk Exposure, SII Non-Compliance
The European Insurance and Occupational Pensions Authority (EIOPA) published a report assessing insurers' exposure to physical climate change risks
NGFS Report Explores Quantification of Climate Risk Differentials
The Network for Greening the Financial System (NGFS) published two reports to aid central banks and regulators in their oversight of the financial sector and in their central bank operations
EC Publishes Results on Review of Web Accessibility Directive
The European Commission (EC) published the results of a public consultation, held in October 2021, on the review of the Web Accessibility Directive.
MAS Consults on Adjustment Spreads for Conversion of SOR Contracts
The Monetary Authority of Singapore (MAS) and the SC-STS are jointly consulting, until June 10, 2022, on setting adjustment spreads for the conversion of legacy SOR contracts to SORA reference rate.
OSFI Discusses Benchmark Rate Transition, Sets Out Work Priorities
The Office of the Superintendent of Financial Institutions (OSFI) published the strategic plan for 2022-2025 and the departmental plan for 2022-23.
EBA Proposes Standards to Support Secondary NPL Markets
The European Banking Authority (EBA) is consulting, until August 31, 2022, on the draft implementing technical standards specifying requirements for the information that sellers of non-performing loans (NPLs) shall provide to prospective buyers.
EU Confirms Agreement on Rules on Cybersecurity and Banking Resolution
The European Council and the Parliament reached an agreement on the revised Directive on security of network and information systems (NIS2 Directive).
EBA Issues Standards for Crowdfunding Service Providers Under ECSPR
The European Banking Authority (EBA) published the final draft regulatory technical standards specifying information that crowdfunding service providers shall provide to investors on the calculation of credit scores and prices of crowdfunding offers.