SRB Expects Banks to Use Checklist to Report MREL-Eligible Liabilities
SRB has published the checklist for reporting eligible liabilities for minimum requirement for own funds and eligible liabilities (MREL) and the template for the management sign-off form. SRB expects banks under its remit to use a checklist when preparing the Additional Liability Report (ALR) and to complete a sign-off form before submission. This is intended to provide additional assurance on liabilities reported as eligible for MREL. The deadline for submission is March 31, 2021.
The checklist on reported liabilities is to be used by resolution reporting officers as a guide when filling out the ALR. It lists the eligibility criteria and conditions that should be met for reported liabilities to be considered MREL eligible. For a particular institution, the CEO or the board member responsible for resolution should fill out the sign-off form, confirming that procedures and controls were put in place to ensure that the reported data in the ALR correspond to liabilities that meet the eligibility criteria in the legislation (Single Resolution Mechanism Regulation, Bank Recovery and Resolution Directive, Capital Requirements Regulation). The sign-off form should be submitted to the local national resolution authority of the institution, with the ALR with reference date of December 31, 2020.
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Keywords: Europe, EU, Banking, MREL, Eligible Liabilities, Reporting, Additional Liability Report, Resolution Framework, MREL Policy, ALR, SRB
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