Featured Product

    ESRB Publishes Risk Dashboard for June 2018

    July 05, 2018

    ESRB published its risk dashboard for June 2018, which contains a set of quantitative and qualitative indicators of systemic risk in the EU financial system. The risk dashboard is accompanied by an overview note that explains the recent development of the indicators and two annexes that explain the methodology and describe the indicators.

    The dashboard reveals that the banking sector resilience continued to strengthen in the first quarter of 2018. The median common equity tier 1 to risk‐weighted assets ratio increased to 15.8% in the first quarter of 2018, up from 14.7% in the first quarter of 2017. Moreover, the median ratio of non‐performing loans to total gross loans and advances continued its downward trend, reaching 3.1% in the first quarter of 2018. Ongoing supervisory and regulatory work, as well as the improved economic environment, contributed to easing the severity of vulnerabilities in the European banking sector.

    Solvency and profitability indicators suggest that the EU insurance sector is performing well overall. The median Solvency Capital Requirement ratio rose to over 200% in the fourth quarter of 2017, continuing the gradual upward trend from below 190% in the fourth quarter of 2016. This slight improvement was driven partly by the moderate increase in the risk‐free rates, with the ten‐year EIOPA risk‐free rate, for example, rising from 0.571% in the fourth quarter of 2016 to 0.802% in the fourth quarter of 2017. As the majority of European Economic Area insurance companies have a combined ratio below 100%, this would also suggest that underwriting performance for non‐life insurance portfolios has, on average, been healthy.

    The ESRB risk dashboard is published quarterly, one week after its adoption by the General Board. The risk dashboard should not be considered to be a policy statement on systemic risks. Additional indicators that support systemic risk assessment in the EU financial system are available in the macro-prudential database maintained by ECB.

     

    Related Links

    Keywords: Europe, EU, Banking, Insurance, Securities, PMI, Risk Dashboard, Systemic Risk, ESRB

    Related Articles
    News

    PRA Revises Branch Return and Updates Guidance for Regulatory Reports

    PRA published the policy statement PS17/19, which contains the final policy related to changes in the format and content of the Branch Return Form and reporting guidance.

    September 12, 2019 WebPage Regulatory News
    News

    FINMA Outlines Treatment of Stablecoins in Supplement to Guide on ICO

    FINMA published a supplement to its initial coin offerings (ICOs) guidelines, outlining the treatment for stablecoins under the Swiss supervisory law.

    September 11, 2019 WebPage Regulatory News
    News

    Ursula von der Leyen Presents Structure of Next European Commission

    President-elect Ursula von der Leyen has presented her team and the new structure of the next European Commission.

    September 10, 2019 WebPage Regulatory News
    News

    FED Proposes to Revise and Extend Reporting Form on Systemic Risk

    FED proposed to extend for three years, with revision, the Banking Organization Systemic Risk Report (FR Y-15; OMB No. 7100-0352).

    September 10, 2019 WebPage Regulatory News
    News

    EBA Issues Revised List of Validation Rules for Reporting

    EBA published the revised list of validation rules (version 2.9) in its implementing technical standards on supervisory reporting.

    September 10, 2019 WebPage Regulatory News
    News

    Bundesbank Publishes Supplementary Validation Rules for Reporting

    Bundesbank published the updated document containing supplementary validation rules in the context of the implementation of the reporting system at national level.

    September 10, 2019 WebPage Regulatory News
    News

    APRA Licenses Xinja Bank as Authorized Deposit-Taking Institution

    APRA granted Xinja Bank Limited a license to operate as an authorized deposit-taking institution without restrictions, under the Banking Act 1959.

    September 09, 2019 WebPage Regulatory News
    News

    FDIC Proposes Revisions to Regulations on Interest Rate Restrictions

    FDIC proposed revisions to its regulations covering interest rate restrictions that apply to less than well-capitalized insured depository institutions.

    September 09, 2019 WebPage Regulatory News
    News

    EBA Intends to Clarify End-Treatment of Grandfathered Instruments

    EBA announced its intention to clarify the prudential treatment applicable to own funds instruments at the end of the grandfathering period, which expires on December 31, 2021.

    September 09, 2019 WebPage Regulatory News
    News

    IMF Releases Reports on 2019 Article IV Consultation with Saudi Arabia

    IMF published its staff report and selected issues report in context of the 2019 Article IV consultation with Saudi Arabia.

    September 09, 2019 WebPage Regulatory News
    RESULTS 1 - 10 OF 3799