EC published the Implementing Regulation (EU) 2019/912 regarding implementing technical standards on the format, structure, contents list, and annual publication date of the information to be disclosed by competent authorities, in accordance with the Capital Requirements Directive or CRD IV (Directive 2013/36/EU). Regulation (EU) 2019/912 amends the Implementing Regulation (EU) No 650/2014 and shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union.
The information required to be published by competent authorities in accordance with the Regulation (EU) No 650/2014 should now be updated to ensure consistency with changes that have been made to the framework for prudential supervision of institutions. To improve the quality of the published information and to allow for a more meaningful comparison of that information, the templates in the Annexes to Regulation (EU) No 650/2014 contain detailed guidance and instructions. The key amendments to Regulation (EU) No 650/2014 include the following:
- Article 5 of Regulation (EU) No 650/2014 has been amended to clarify that competent authorities should only compile aggregate statistical data from institutions that fall under their supervision and to clarify for which period data should be reported.
- Annex I sets out the templates for publishing information on the laws, regulations, administrative rules, and general guidance adopted in each member state. This Annex has been amended to provide more useful and relevant information on how competent authorities carry out supervision in their jurisdictions.
- Annex II sets out the templates for publishing information on the options and discretions available in Union Law. This Annex has been amended to cover additional options and discretions stemming from Regulation (EU) 2015/61. It should also be amended to allow for the distinction between the transitional or permanent nature of those options and discretions and to allow for the distinction between the application of those options and discretions to, on the one hand, credit institutions and, on the other hand, investment firms.
- The implementation of EBA Guidelines on the supervisory review and evaluation process (SREP) should be more transparent. Annex III, therefore, has been amended to include a description of the supervisory approach to the internal liquidity adequacy assessment process (ILAAP).
- Overlaps should be avoided and the comparability of the aggregate statistical data published by competent authorities should be improved. Annex IV has been amended to take into account the level of prudential consolidation applied by institutions in accordance with Chapter 2 of Title II of Part One of Capital Requirements Regulation, or CRR (Regulation No 575/2013).
Effective Date: June 25, 2019
Keywords: Europe, EU, Banking, Supervisory Disclosure, CRD IV, CRR, Options and Discretions, SREP, ILAAP, Regulation 2019/912, Regulation 650/2014, EC
Previous ArticleFDIC Amends Rule on Timely Deposit Insurance Determination
BIS and BoE launched the BIS Innovation Hub Center in London, which is the fourth new Innovation Hub Centre to be opened in the past two years.
ESRB published recommendations on the reciprocation of macro-prudential measures in Belgium, France, Luxembourg, Norway, and Sweden.
EC published the Delegated Regulation 2021/931, which supplements the Capital Requirements Regulation (CRR or Regulation 575/2013) with regard to the regulatory technical standards specifying the method for identifying derivative transactions with one or more than one material risk driver.
BCBS is consulting on preliminary proposals for the prudential treatment of cryptoasset exposures of banks.
EBA issued a revised list of validation rules under the implementing technical standards on supervisory reporting.
BIS Innovation Hub, BDF, and SNB announced that, together with a private-sector consortium led by Accenture, they will conduct an experiment using wholesale central bank digital currency (wCBDC) for cross-border settlement.
ESAs published two amended implementing technical standards on the mapping of credit assessments of External Credit Assessment Institutions (ECAIs).
EBA published revised guidelines on major incident reporting under the Payment Service Directive (PSD2).
BCBS updated the year-end and annual average exchange rates in context of the global systemically important bank (G-SIB) assessment exercise.
HKMA issued a circular informing the industry about its intention to revise the target effective dates for the revised frameworks on credit risk, operational risk, output floor, leverage ratio, market risk, and credit valuation adjustment risk.