EBA Publishes Standards on Disclosure of Systemic Risk Indicators
EBA published a report on the final draft implementing technical standards on the disclosure of indicators of systemic importance by the global systemically important institutions (G-SIIs). These standards help to identify which banks are globally systemically important and specify the format and instructions in accordance with which G-SIIs disclose the information required under the Capital Requirements Regulation (CRR). CRR requires G‐SIIs to annually disclose the values of the indicators used for determining their score in accordance with the identification methodology.
To facilitate the comparability of information, the implementing technical standards shall seek to maintain consistency of disclosure formats with international standards on disclosures. To this end, the Pillar 3 disclosure, according to Article 441 of the CRR2, is aligned with the BCBS template GSIB1, titled "Disclosure of G‐SIB indicators," included in the BCBS March 2017 Pillar 3 standards (Pillar 3 disclosure requirements). Institutions shall disclose this information in their year-end Pillar 3 report. Institutions shall restate and republish this information in their first Pillar 3 report following the final submission of the indicator values to the relevant authorities, where the submitted figures are different respect to those disclosed in the year-end Pillar 3 report. The G-SII disclosures standards do not include a specific template, but a cross-reference to the format used for the collection of the relevant indicators by relevant authorities, a format that has to be applied by G-SIIs when disclosing the relevant information in their Pillar 3 reports.
The implementing technical standards will amend the final draft implementing technical standards on institutions’ public disclosures with the strategic objective of defining a single, comprehensive Pillar 3 framework under the CRR that should integrate all the relevant Pillar 3 disclosure requirements. This will facilitate institutions’ implementation and enhance clarity for users of such information, as expressed in the EBA Pillar 3 roadmap.
Related Links
Keywords: Europe, EU, Banking, Implementing Technical Standards, CRR, G-SII, Systemic Risk, Disclosures, Basel, Pillar 3, EBA
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
BIS Survey Reveals Increasing Use of Big Data at Central BanksRelated Articles
PRA Proposes Changes to Consolidated Prudential Rules Under CRD5/CRR2
PRA proposed rules (in CP12/21) for the application of existing consolidated prudential requirements to financial holding companies and mixed financial holding companies that have been approved or designated in accordance with Part 12B of the Financial Services and Markets Act 2000 (FSMA).
ECB Extends Leverage Ratio Relief for Banks Until March 2022
ECB Banking Supervision announced that euro area banks it directly supervises may continue to exclude certain central bank exposures from the leverage ratio until March 2022.
OSFI Consults on Treatment of Credit Valuation Adjustments
OSFI decided to increase the Domestic Stability Buffer from 1.00% to 2.50% of total risk-weighted assets, with effect from October 31, 2021.
HKMA Requires Banks to Submit Plans for Fintech Adoption
HKMA is requesting banks to participate in a tech baseline assessment, which forms part of the HKMA Fintech 2025 strategy.
OSFI Consults on Operational Risk Capital Data Management Expectations
OSFI published two documents to consult on the management of operational risk capital data for institutions required, or for those applying, to use the Basel III standardized approach for operational risk capital in Canada.
NGFS on Addressing Financial Stability Issues from Biodiversity Loss
The NGFS Study Group on Biodiversity and Financial Stability published a Vision paper exploring the case for action in addressing the financial stability concerns arising from biodiversity loss.
ACPR Publishes CREDITIMMO Version 2.3.0 Taxonomy for Banks
ACPR published the final version of CREDITIMMO 2.3.0 taxonomy for the decree of October 31, 2021.
EC Prolongs Italian Guarantee Scheme for Non-Performing Loans
EC, has approved, under the EU State Aid rules, the fourth prolongation of the Italian guarantee scheme to facilitate the securitization of non-performing loans.
ECB Amends Guideline on Temporary Collateral Easing Measures
ECB published Guideline 2021/975, which amends Guideline ECB/2014/31, on the additional temporary measures relating to Eurosystem refinancing operations and eligibility of collateral.
EIOPA Releases Report on Artificial Intelligence Governance Principles
EIOPA published a report, from the Consultative Expert Group on Digital Ethics, that sets out artificial intelligence governance principles for an ethical and trustworthy artificial intelligence in the insurance sector in EU.
