Featured Product

    EBA Publishes Annual Data on Deposit Guarantee Schemes in EU

    May 12, 2020

    EBA updated data on the Deposit Guarantee Schemes across EU. This data for 2019 relates to two key concepts in the Deposit Guarantee Schemes Directive or DGSD—namely, available financial means and covered deposits. The data show that the target level of 0.8% of covered deposits, to be attained by July 2024, had been achieved by 18 of the 37 Deposit Guarantee Schemes in EU. Additionally, the available financial means data, as of December 31, 2019, show that 28 out of a total of 37 Deposit Guarantee Schemes in EU member states had increased their funds since December 31, 2018.

    The increase in funds for 28 out of the 37 Deposit Guarantee Schemes in EU member states, in general, stems from levies paid by the members of the Deposit Guarantee Schemes; these levies were raised to reach the target level of 0.8% of covered deposits set out in the Deposit Guarantee Schemes Directive and to be attained by July 2024. No significant changes to the available financial means occurred in six Deposit Guarantee Schemes, including three cases where the Deposit Guarantee Schemes already hold more than the minimum target level of 0.8% of covered deposits. The amount of available financial means decreased only for two Deposit Guarantee Schemes: in Latvia because of a significant payout to depositors in 2019 and in Norway where half of the Deposit Guarantee Scheme available financial means were transferred to a separate resolution fund. Finally, there is also one new Deposit Guarantee Scheme in Austria, which took over the protection of deposits previously provided by four separate schemes. Available financial means is the amount of funds raised by Deposit Guarantee Schemes from credit institutions to be used mainly to reimburse depositors in case of bank failures. 

    EBA publishes this data annually to enhance the transparency and public accountability of Deposit Guarantee Schemes across EU to the benefit of depositors, markets, policymakers, Deposit Guarantee Schemes, and member states. In recent years, the approach to funding a deposit guarantee in EU has been strengthened and further harmonized. Under this new funding model, banks pay a levy every year into a national Deposit Guarantee Scheme fund and that money remains available in case the Scheme needs it to protect depositors if a bank fails. Member states, especially those that previously did not have such a fund, are transitioning to the new funding model and significant progress has been made to date. In EU, all banks, as well as any credit institutions allowed to take deposits, authorized in a member state must be members of an official Deposit Guarantee Scheme. 

     

    Related Links

    Keywords: Europe, EU, Banking, DGSD, Deposit Guarantee Schemes, Deposit Guarantee Fund, Crisis Management Framework, Resolution Framework, EBA 

    Related Articles
    News

    EBA Updates Filing Rules for Supervisory Reporting

    The European Banking Authority (EBA) published version 5.1 of the filing rules for supervisory reporting.

    October 19, 2021 WebPage Regulatory News
    News

    ECB Amends Guideline on Procedures for Collection of AnaCredit Data

    The European Central Bank (ECB) Guideline 2021/1829 on the procedures for the collection of granular credit and credit risk data has been published in the Official Journal of European Union.

    October 19, 2021 WebPage Regulatory News
    News

    ECB Amends Guideline on Procedures for Collection of AnaCredit Data

    The European Central Bank (ECB) Guideline 2021/1829 on the procedures for the collection of granular credit and credit risk data has been published in the Official Journal of European Union.

    October 19, 2021 WebPage Regulatory News
    News

    EBA Publishes Standards on Disclosure of Investment Policy Under IFR

    The European Banking Authority (EBA) published the final draft regulatory technical standards on disclosure of investment policy by investment firms, under the Investment Firms Regulation (IFR).

    October 19, 2021 WebPage Regulatory News
    News

    APRA Finalizes Guidance for New Prudential Standard on Remuneration

    The Australian Prudential Regulation Authority (APRA) published the prudential practice guide CPG 511 to assist banks, insurers, and superannuation licensees in meeting requirements of CPS 511, the new prudential standard on remuneration.

    October 18, 2021 WebPage Regulatory News
    News

    OCC Updated LIBOR Self-Assessment Tool for Banks

    The Office of the Comptroller of the Currency (OCC) published a bulletin that provides an updated self-assessment tool for banks to evaluate their preparedness for cessation of the London Interbank Offered Rate (LIBOR).

    October 18, 2021 WebPage Regulatory News
    News

    TCFD Updates Guidance for Financial Disclosures on Climate Risk

    The Financial Stability Board (FSB) published a report that examines the progress made toward disclosures aligned with recommendations of the Task Force on Climate-related Financial Disclosures (TCFD).

    October 14, 2021 WebPage Regulatory News
    News

    BCBS Report Examines Progress on Adoption of Basel III Framework

    The Basel Committee on Banking Supervision (BCBS) published the progress report on adoption of the Basel III regulatory framework in member jurisdictions.

    October 14, 2021 WebPage Regulatory News
    News

    ACPR Implements Updates Related to DPM Version 3.1

    The French Prudential Supervisory Authority (ACPR) has implemented, in its information system, updates linked to the Data Point Model (DPM) version 3.1.

    October 14, 2021 WebPage Regulatory News
    News

    EBA Note Examines Transition Risks of Benchmark Rates

    The European Banking Authority (EBA) published a thematic note that aims to identify and raise awareness of the transition risks of benchmark rates, as the London Interbank Offered Rate (LIBOR) and the Euro Overnight Index Average (EONIA) are close to being phased out.

    October 14, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 7571