ESRB Updates List of Macro-Prudential Measures in February 2021
ESRB updated the list of national macro-prudential measures applied by each member state in the European Economic Area. One of the updates on the national macro-prudential measures involves the Debt-Service-to-Income (DSTI) measure in France, which became effective on January 28, 2021. Additionally, ESRB separately published notifications regarding other systemically important institutions (O-SIIs) from the respective regulatory authorities in Austria, Belgium, Bulgaria, Croatia, Czech Republic, Estonia, France, Germany, Greece, Hungary, Italy, Ireland, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Netherlands, Norway, Portugal, Poland, Spain, Sweden, and UK. ESRB also published notifications regarding global systemically important institutions (G-SIIs) from the respective regulatory authorities in France, Germany, Italy, the Netherlands, Spain, and UK.
The overview of national macro-prudential measures covers several measures, including capital buffers, reciprocation measures, and borrower-based measures. The capital buffers are capital conservation buffer, countercyclical capital buffer. systemic risk buffer, and G-SII and O-SII buffers. The borrower-based measures are DSTI, loan-to-income ratio, loan-to-value ratio, debt-to-income ratio, and loan maturity. The ESRB overview of the national macro-prudential measures includes all types of current and past measures. National authorities are required to notify ESRB about their macro-prudential measures in accordance with the Capital Requirements Directive (CRD IV), the Capital Requirements Regulation (CRR), and various ESRB recommendations.
Related Links
- List of Macro-Prudential Measures (XLSX)
- Overview of Macro-Prudential Measures
- ESRB Notifications on SIIs
Keywords: Europe, EU, Banking, Macro-Prudential Measures, Borrower-Based Measures, Systemic Risk, Regulatory Capital, Basel, CRR/CRD, DSTI, RRE, ESRB
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
Related Articles
EBA Sets Out Standards for Pillar 3 Disclosures of ESG Risks
The European Banking Authority (EBA) published the final draft implementing technical standards on Pillar 3 disclosures on environmental, social, and governance (ESG) risks.
EBA Proposes Guidelines on Remuneration Benchmarking, High Earner Data
The European Banking Authority (EBA) proposed to update the guidelines on the data collection exercise on high earners and the remuneration benchmarking exercise under the Capital Requirements Directive (CRD).
MAS Issues Updates on Its Activities: Ravi Menon Becomes NGFS Chair
The Network for Greening the Financial System (NGFS) announced the appointment of Mr. Ravi Menon, the Managing Director of the Monetary Authority of Singapore (MAS), as its new Chair for a two-year term.
CBIRC Issues Rules on Related-Party Transactions and Outsourcing Risks
The China Banking and Insurance Regulatory Commission (CBIRC) issued rules on related-party transactions and outsourcing risks.
OSFI Issues Results of Pilot on Climate Risk Scenario Analysis
The Office of the Superintendent of Financial Institutions (OSFI) published an update on the discussion paper that intended to engage federally regulated financial institutions and other interested stakeholders in a dialog with OSFI, to proactively enhance and align assurance expectations over key regulatory returns.
EC Issues Regulation on Adjustments to K-Factor Coefficients Under IFR
The European Commission (EC) published a report summarizing responses to the targeted consultation on the supervisory convergence and the single rulebook in the European Union (EU).
BIS Tests CBDC with Banks; FIS Examines Tech Firm Licensing Regime
The Bank of International Settlements (BIS) announced successful test integration of wholesale central bank digital currency (CBDC) settlement with commercial banks, as part of the Project Helvetia.
ECB Issues Opinions on Green Bonds Standard and CRR Proposals
The European Central Bank (ECB) published its opinion on a proposal for a regulation on European green bonds, following a request from the European Parliament.
ESRB Explores Policy Response to Risks Arising from Digitalization
The Advisory Scientific Committee (ASC) of the European Systemic Risk Board (ESRB) published a report that explores the expected impact of digitalization on provision of financial and banking services, and proposes policy measures to address the risks stemming from digitalization.
HKMA Consults on FIRO Code, Revises Policy on Foreign Exchange Risk
The Hong Kong Monetary Authority (HKMA) is consulting on the draft Financial Institutions (Resolution) Ordinance (Cap. 628), or FIRO, Code of Practice chapter on liquidity and funding in resolution, until March 14, 2022.
