The Office of the Comptroller of the Currency (OCC) is seeking comments on the final version of the proposed revisions to a regulatory reporting requirement for the company-run annual Dodd-Frank Act Stress Test (DFAST) reporting template and instructions for covered institutions with consolidated assets of USD 250 billion or more. OCC has revised the reporting requirements to mirror the requirements in the form FR Y-14A of FED and its 2022 changes include the minimal adjustments necessary to align line items with placement on the 2022 FR Y-14A. The comment period for these reporting requirement revisions ends on March 04, 2022. In addition, the Federal Deposit Insurance Corporation (FDIC) has set out its priorities for 2022.
The FDIC’s key priorities for the year are as follows:
- Address Financial Risks Posed by Climate Change—Addressing the financial risks that climate change poses to banking organizations and the financial system will be a top priority of the FDIC. FDIC plans to seek public comment on a guidance to help banks prudently manage the climate-related financial risks, establish an FDIC interdivisional, interdisciplinary working group on climate-related financial risks, and join the International Network of Central Banks and Supervisors for Greening the Financial System.
- Finalize Basel III Capital Rule—FDIC will focus on implementation of BCBS final agreement on modifications to the Basel III international regulatory framework, which will strengthen the regulatory framework for large banking organizations, including strengthening the capital requirements related to market risk, operational risk, and the risks associated with financial derivatives.
- Evaluate Crypto-Asset Risks—Robust guidance for the banking industry on the management of prudential and consumer protection risks raised by crypto-asset activities is another task in focus.
- Review Bank Merger Process—In light of the significant implications of bank mergers for competition, safety and soundness, financial stability, and meeting the financial services needs of communities, a careful interagency review of the bank merger process is warranted.
- Strengthen Community Reinvestment Act (CRA)—FDIC and other federal banking agencies are working on a major revision of the rule implementing CRA and plan to act jointly on a notice of proposed rulemaking in the near future that would strengthen and enhance CRA. CRA requires banks to meet the credit needs of all the communities they serve, including low- and moderate-income communities.
- Federal Register Notice on DFAST
- OCC Templates and Instructions
- FDIC Press Release on Priorities for 2022
Keywords: Americas, US, Banking, Reporting, Stress Testing, Dodd Frank Act, DFAST, DFAST 14A, Instructions, Climate Change Risk, Crypto Assets, FDIC, Basel, Regulatory Capital, ESG, OCC
The European Banking Authority (EBA) published its work program for 2023 as well as the technical package for phase 3 of version 3.2 of its reporting framework.
The Board of Governors of the Federal Reserve System (FED) announced a pilot climate scenario analysis exercise for six largest banks in the U.S.
The Bank for International Settlements (BIS) published a paper that studies impact of fintech lending on credit access for small businesses in U.S.
The Prudential Regulation Authority (PRA) issued the policy statement PS8/22 to amend the Own Funds and Eligible Liabilities (CRR) Part of the PRA Rulebook and update the supervisory statement SS7/13 titled "Definition of capital (CRR firms).
The European Banking Authority (EBA) launched the EU-wide transparency exercise for 2022, with results of the exercise expected to be published at the beginning of December, along with the annual Risk Assessment Report.
The Single Resolution Board (SRB) welcomed the adoption of the review of the Capital Requirements Regulation, or CRR, also known as the "CRR quick-fix."
The European Commission (EC) recently adopted the Delegated Regulation 2022/1622, which sets out the regulatory technical standards to specify the countries that constitute advanced economies for the purpose of specifying risk-weights for the sensitivities to equity.
The European Banking Authority (EBA) published the final draft regulatory technical standards specifying and, where relevant, calibrating the minimum performance-related triggers for simple.
The European Central Bank (ECB) is undertaking the integrated reporting framework (IReF) project to integrate statistical requirements for banks into a standardized reporting framework that would be applicable across the euro area and adopted by authorities in other EU member states.
The European Banking Authority (EBA) has been awarded the top European Standard for its environmental performance under the European Eco-Management and Audit Scheme (EMAS).