Featured Product

    EU Agrees on Instrument to Support Reforms for Sustainable Recovery

    July 22, 2020

    As part of the measures to foster recovery from the COVID-19 crisis, EU announced its support for the reform efforts of member states to stimulate growth and put their economies back on track. In this context, the EU ambassadors endorsed the position of the European Council on establishing a "technical support instrument," that will contribute to mainstreaming climate actions and to the achievement of an overall target of the EU budget expenditures supporting climate objectives. The technical support instrument is also meant to complement the EC proposal for a recovery and resilience facility that will provide large-scale financial support for public investments and reforms to foster member states' recovery from the COVID-19 crisis. The instrument will support member states in the preparation and implementation of their recovery and resilience plans.

    Member states have increasingly taken up technical support under the Structural Reform Support Program in the past; therefore, a technical support instrument should be established through a regulation, with a view to continuing to support member states in the implementation of reforms. Reflecting the European Green Deal as Europe’s growth strategy and the translation of EU’s commitments to implement the Paris Agreement and the United Nations’ Sustainable Development Goals, the technical support instrument will contribute to mainstreaming climate actions and to the achievement of an overall target of [25]% of the EU budget expenditures supporting climate objectives. Relevant actions should be identified during the instrument’s preparation and implementation and reassessed in the context of the relevant evaluations and review processes. This should also tackle broader environmental and social challenges in EU, including the protection of natural capital and the support to the circular economy and be in line with the 2030 Agenda for Sustainable Development. 

    The scope of the instrument includes financial-sector policies, such as those for the promotion of financial literacy, financial stability, access to finance and lending to the real economy and production, provision, and quality monitoring of data and statistics. It also covers policies for implementing the digital and the green transitions, e-government solutions, e-procurement, connectivity, data access and governance, and e-learning; the use of artificial-intelligence-based solutions, the environmental pillar of sustainable development and environmental protection, climate action; promoting the circular economy, energy and resource efficiency, and renewable energy sources; achieving energy diversification; and ensuring energy security.

    The agreed upon position will serve as the basis for the Presidency in its negotiations with the European Parliament that are set to start as soon as possible. However, it does yet not cover the budgetary aspects of the draft regulation since an agreement on the overall next Multiannual Financial Framework was achieved only yesterday. The proposed technical support instrument is a successor to the structural reform support program. On the basis of this partial negotiating mandate, the Presidency will start negotiations with the Parliament as soon as the Parliament has adopted its position.

     

    Related Links

    Keywords: Europe, EU, Banking, Insurance, Securities, ESG, Climate Change Risk, COVID-19, Financial Stability, European Green Deal, Paris Agreement, EC, European Council

    Featured Experts
    Related Articles
    News

    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).

    January 20, 2022 WebPage Regulatory News
    News

    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.

    January 20, 2022 WebPage Regulatory News
    News

    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.

    January 19, 2022 WebPage Regulatory News
    News

    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.

    January 18, 2022 WebPage Regulatory News
    News

    EU Authorities Address COVID-19 Reporting, MCD, and PSD2 Issues

    The European Banking Authority (EBA) announced that the guidelines on the reporting and disclosure of exposures subject to measures COVID-relief measures shall continue to apply until further notice.

    January 17, 2022 WebPage Regulatory News
    News

    FI Publishes Multiple Regulatory and Reporting Updates

    The Swedish Financial Supervisory Authority (FI) announced that the capital adequacy reporting as at December 31, 2021 must be done by February 11, 2022.

    January 17, 2022 WebPage Regulatory News
    News

    BSP Tackles Aspects of Lending and Islamic, Open & Sustainable Finance

    The Central Bank of the Philippines (BSP) issued communications covering developments related to online lending platforms, open finance framework and roadmap, and on the expected regulations in the area sustainable finance.

    January 16, 2022 WebPage Regulatory News
    News

    US Agencies Issue Regulatory Updates, FDIC Launches Tech Sprint

    The Board of Governors of the Federal Reserve System (FED) published the final rule that amends Regulation I to reduce the quarterly reporting burden for member banks by automating the application process for adjusting their subscriptions to the Federal Reserve Bank capital stock, except in the context of mergers.

    January 13, 2022 WebPage Regulatory News
    News

    EBA Issues Guide on Bank Resolvability, Consults on Transferability

    The European Banking Authority (EBA) published its assessment of risks through the quarterly Risk Dashboard and the results of the Autumn edition of the Risk Assessment Questionnaire (RAQ).

    January 13, 2022 WebPage Regulatory News
    News

    MFSA Publishes CRD5 Updates and Supervisory Priorities for 2022

    The Malta Financial Services Authority (MFSA) updated the guidelines on supervisory reporting requirements under the reporting framework 3.0.

    January 13, 2022 WebPage Regulatory News
    RESULTS 1 - 10 OF 7875