US Agencies Extend Deadline for Resolution Plans of Certain Banks
US Agencies (FDIC and FED) announced several resolution plan actions, including completion of their evaluations of the 2018 resolution plans for 82 foreign banks. In addition, the Agencies extended the deadline for the next resolution plans of 82 foreign banks and 15 domestic banks to July 01, 2021. This extension will give the banks additional time to prepare their plans and will help mitigate uncertainty about the filing requirements, while the US Agencies' April 2019 proposal to revise the resolution plan rule remains pending. Until the US Agencies finalize this proposal in a final rule, the current resolution plan rule continues to apply to each covered company.
The US Agencies did not identify shortcomings, which are defined as weaknesses a firm would be required to address, in the 2018 resolution plans of the 82 foreign banks. However, the Agencies are requesting additional information in the next resolution plans from seven firms—namely, HSBC Holdings Plc, BNP Paribas, Royal Bank of Canada, Banco Bilbao Vizcaya Argentaria S.A., Bank of Montreal, Banco Santander S.A., and Toronto-Dominion Bank. Additionally, the US Agencies extended the next full resolution plan submission date for four other foreign banks—Barclays PLC, Credit Suisse, Deutsche Bank AG, and UBS AG—to July 01, 2021. However, these banks are still required to submit the limited plans by July 01, 2020; the limited plans should describe how these banks have addressed the shortcomings identified in December 2018 and provide updates on certain resolution projects.
Related Links
- Press Release
- Proposed Rule, April 2019
- List of 82 Foreign Banks (PDF)
- List of 15 Domestic Banks (PDF)
Keywords: Americas, US, Banking, Foreign Banks, Resolution Plans, Extension of Deadline, FED, FDIC, US Agencies
Previous Article
Thomas Jordan of SNB Discusses Regulatory Stance on Digital MoneyRelated Articles
HKMA Sets Out Regulatory Treatment for Personal Loan Guarantee Scheme
HKMA has published a circular that sets out the regulatory and reporting treatment for loans that participating authorized institutions may grant to eligible borrowers under the 100% Personal Loan Guarantee Scheme.
ECB Completes Targeted Review of Internal Models of Banks
ECB published the results of the assessment of internal models that banks use to calculate risk-weighted assets for credit, market, and counterparty credit risks.
PRA on Regulatory Treatment of Loans Under Mortgage Guarantee Scheme
PRA published a statement on the regulatory treatment of retail residential mortgage loans under the Mortgage Guarantee Scheme, or MGS.
FCA Consults on Rules and Reporting Forms for Investment Firms Regime
FCA is consulting, via CP21/7, on the second phase of proposed rules to introduce the UK Investment Firm Prudential Regime (IFPR).
HMT and BoE Decide to Explore Central Bank Digital Currency in UK
HM Treasury and BoE announced the joint creation of a Central Bank Digital Currency (CBDC) Taskforce to coordinate the exploration of a potential central bank digital currency in UK.
EIOPA Sets Out Expectations on Use of Climate Risk Scenarios in ORSA
EIOPA published an opinion to set out its expectations on the supervision of the integration of climate change risk scenarios by insurers in their Own Risk and Solvency Assessment (ORSA).
EC Sets Out Standards for MREL Reporting by Competent Authorities
EC published the Implementing Regulation 2021/622 that lays down implementing technical standards for reporting of the minimum requirement for own funds and eligible liabilities (MREL).
BCBS to Advance Work on Suptech, Climate Risk, and Basel Monitoring
BCBS has set out the strategic work priorities, as part of its the work program for 2021-22.
Bundesbank Updates AnaCredit Reporting Requirements
Bundesbank published two circulars on AnaCredit reporting requirements. Circular 27/2021 covers changes to the reporting of branches, additional attributes to be reported for investment funds from August 01, 2021, and updates to the list of international organizations.
PRA Finalizes Supervisory Approach for Non-Systemic Banks in UK
PRA published the policy statement PS8/21, which contains the final supervisory statement SS3/21 on the PRA approach to supervision of the new and growing non-systemic banks in UK.