DNB issued the banking newsletter for June 2017. This month one of the key focus areas is strategic risk in the Internal Capital Adequacy Assessment Process (ICAAP). In the assessments of less significant institutions under the Supervisory Review and Evaluation Process, close attention will be paid to how banks deal with the strategic risks arising from their business models and profitability. DNB's review of recovery plan for small and medium-size banks is another focus area. The newsletter highlights that a number of Dutch small and medium-size banks do not yet fully meet the EBA guidelines for recovery plans.
Other focus areas include:
EBA conducts consultation and workshop in London on the 2018 EU-wide stress test methodology
Banks provide input on draft guidance on transaction monitoring and DNB plans to issue the final guidance document shortly
DNB looks at the management of fiscal risks, including aggressive tax planning and client anonymity by banks
DNB increased fixed rates for the supervision and resolution of banks as well as the implementation of Deposit Guarantee Scheme; the monitoring costs for banks will be charged based on the minimum amount of regulatory capital
DNB requires banks, payment institutions, and money transfer offices to fill out an annual online questionnaire on integrity risks in the financial sector (including money laundering and terrorist financing)
DNB updates Survey/QIS calendar for banks
Keywords: Europe, Netherlands, Banking, DNB, Newsletter
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EBA finalized the two sets of draft regulatory technical standards on the identification of material risk-takers and on the classes of instruments used for remuneration under the Investment Firms Directive (IFD).
EC published, in the Official Journal of the European Union, a notification that the European Court of Auditors (ECA) has published a special report on resolution planning in the Single Resolution Mechanism.
BoE published a scenario against which it will be stress testing banks in 2021, in addition to setting out the key elements of the 2021 stress test, guidance on the 2021 stress test, and the variable paths for the 2021 stress test.
PRA published a consultation paper (CP3/21) proposes rules regarding the timing of identity verification required for eligibility of depositor protection under the Financial Services Compensation Scheme (FSCS).
FSB published the work program for 2021, which reflects a strategic shift in priorities in the COVID-19 environment.
FCA announced that 50% firms have started using the new data collection platform RegData, which is slated to replace the existing platform known Gabriel.
Bundesbank published Version 5.0 of the derivation rules for completeness check at the form level, with respect to the data quality of the European harmonized reporting system.
FED finalized a rule that updates capital planning requirements to reflect the new framework from 2019 that sorts large banks into categories, with requirements that are tailored to the risks of each category.
ECB published results of the quarterly lending survey conducted on 143 banks in the euro area.
ESAs published the final draft implementing technical standards on reporting of intra-group transactions and risk concentration of financial conglomerates subject to the supplementary supervision in EU.