DNB published the banking and insurance newsletters for March 2020. The newsletters focus on the impact of COVID-19 on banking and insurance industry. The banking newsletter highlights the DNB discussion with less significant banks about the regulator's expectations at this time. DNB will publish a letter on its expectations from banks in the context of recent developments. The insurance newsletter highlights that a different approach is required in the wake of COVID-19 than the standard continuity processes. DNB expects institutions to recognize this risk, analyze its impact, and implement additional measures, where necessary. DNB also updated the calendar of requests from banks.
The banking newsletter highlights that the Ministry of Finance published a draft bill for amendments to the Financial Supervision Act to implement new European regulations in the field of capital requirements for banks and investment firms on February 12, 2020. The bill is open for consultation until March 11, 2020. DNB also published the results of its investigation, in 2019, into climate-related risks and mitigating actions by medium-size and small banks. DNB will also send the annual Integrity Risk Reporting (IRAP) to the financial sector on March 31, 2020. IRAP is an important source for DNB to arrive at a risk profile of each institution and for its analysis of risk management in the sector. The upcoming IRAP questionnaire concerns the organization, customers, activities and products of institutions in the calendar year 2019 and as at December 31, 2019. In preparation, DNB paid attention to cross-sectoral harmonization of the questionnaire.
Keywords: Europe, Netherlands, Banking, Insurance, COVID-19, Climate Change Risk, SSM, ESG, Capital Requirements, Integrity Risk Reporting, Newsletter, DNB
BCBS amended the guidelines on sound management of risks related to money laundering and financing of terrorism (ML/FT).
US Agencies (Farm Credit Administration, FDIC, FED, FHFA, and OCC) finalized changes to the swap margin rule to facilitate implementation of prudent risk management strategies at banks and other entities with significant swap activities.
PRA published a letter that builds on the expectations set out in the supervisory statement (SS3/19) on enhancing banks' and insurers' approaches to managing the financial risks from climate change.
EBA finalized the guidelines on treatment of structural foreign-exchange (FX) positions under Article 352(2) of the Capital Requirements Regulation (CRR).
FSB published a statement on the impact of COVID-19 pandemic on global benchmark transition.
IAIS published the list of Internationally Active Insurance Groups (IAIGs) publicly disclosed by group-wide supervisors.
FED has temporarily revised the reporting form on consolidated financial statements for holding companies (FR Y-9C; OMB No. 7100-0128).
EC launched a consultation on the review of the key elements of Solvency II Directive, with the comment period ending on October 21, 2020.
ECB launched a consultation on the guide that sets out supervisory approach to consolidation projects in the banking sector.
IAIS published technical specifications, questionnaires, and templates for 2020 Insurance Capital Standard (ICS) and Aggregation Method data collections.