BCBS published the progress report on the implementation of the principles for effective risk data aggregation and reporting by banks. The progress report is based on the results of a self-assessment survey completed by authorities with supervisory responsibility for global systemically important banks (G-SIBs). The report reviews G-SIBs' progress in implementing the principles in 2017.
The assessment shows that, in 2017, most G-SIBs made, at best, marginal progress in implementing the principles. G-SIBs have found it challenging to comply with the principles, mainly due to the complexity and interdependence of IT improvement projects. Consequently, the expected date of compliance has slipped back for many banks. In view of this outcome, and to promote further adoption of the principles, BCBS has made the following recommendations:
- Banks should continue to implement the principles according to the roadmaps agreed with their supervisors and consider how implementation would benefit other data-related initiatives and requirements
- Supervisors should maintain their emphasis on ensuring that banks fully implement the principles. This includes meeting with banks' boards of directors and/or senior management in 2018 to receive updates on implementation progress. Supervisors should also continue to promote home-host cooperation in relation to the implementation of the principles by global banking groups.
The current assessment covered 30 G-SIBs designated in 2011-12 that were required to adopt the principles by January 2016. An earlier progress report, which was published in March 2017, assessed implementation during 2016. The principles for effective risk data aggregation and reporting were issued in January 2013; these principles aim to strengthen banks' risk data aggregation and risk reporting with a view to improving their risk management, decision-making processes, and resolvability. BCBS will continue to monitor G-SIBs' progress in adopting the principles and plans to conduct the next assessment in 2019.
Keywords: International, Banking, Risk Data Aggregation, Risk Reporting, G-SIBs, Risk Management, Principles, BCBS239, BCBS
EC published Regulation 2021/25 that addresses amendments related to the financial reporting consequences of replacement of the existing interest rate benchmarks with alternative reference rates.
BIS published a bulletin, or a note, that examines the cyber threat landscape in the context of the pandemic and discusses policies to reduce risks to financial stability.
HM Treasury, also known as HMT, has updated the table containing the list of the equivalence decisions that came into effect in UK at the end of the transition period of its withdrawal from EU.
EBA published an erratum for technical package on phase 1 of the reporting framework 3.0.
APRA updated a frequently asked question (FAQ), for authorized deposit-taking institutions, on the measurement of credit risk weighted assets.
EBA published the quarterly risk dashboard, along with the results of the Risk Assessment Questionnaire survey among 60 banks and 15 market analysts.
ECB concluded the public consultation on the introduction of a digital euro in EU.
ECB published a guide that sets out the supervisory approach to consolidation in the banking sector.
The SRB Chair Elke König published an article setting out work priorities for 2021.
FDIC has selected 11 technology companies—including BearingPoint, Fed Reporter, Inc, and S&P Global Market Intelligence, LLC—for inclusion in the third and final phase of the rapid prototyping competition.