DNB published the revised submission deadlines for reporting by significant and less significant banks. This update supplements the statements issued by EBA and ECB, in an effort to alleviate the reporting burden on banks amid the COVID-19 crisis. DNB also extended the ECB guidance on IFRS 9, which was issued in context of the COVID-19 pandemic, to the supervised less significant institutions.
Recently, ECB had provided significant institutions with further guidance on, and references, to the use of forecasts to avoid excessively procyclical assumptions in their expected credit loss (ECL) estimations during the COVID-19 pandemic. DNB is now extending this guidance to all Dutch less significant institutions that make use of IFRS 9 and urges them to consider the guidance provided. Additionally, DNB made the following key announcements in its recent update on submission of reports by banking institutions:
- The submission deadlines for regular supervisory reports under the implementing technical standards on supervisory reporting, the implementing technical standards on benchmarking of internal approaches, and the ECB FINREP regulation, with remittance dates between March and May-end will be extended by one month, with the exception of the liquidity coverage ratio and additional liquidity monitoring metric reports.
- The data point model version 2.9 amendments must be implemented according to the schedule communicated by EBA before.
- The submission deadline for the interest rate risk and country risk reports is was extended by one month.
- For significant institutions DNB is extending the submission deadline for the first quarter 2020 short-term exercise templates by one month and the submission deadline for the Funding Plans (under the Guidelines on Funding Plans) by two months.
DNB plans to communicate any additional changes to submission deadlines for ad hoc requests via the supervisory data request overview in the DNB newsletter for banks.
Keywords: Europe, Netherlands, Banking, ECL, IFRS 9, COVID-19, Reporting, LCR, ALMM, Deadline Extension, DPM 2.9, Interest Rate Risk, Benchmarking, FINREP, DNB
Scott is a Director in the Regulatory and Accounting Solutions team responsible for providing accounting expertise across solutions, products, and services offered by Moody’s Analytics in the US. He has over 15 years of experience leading auditing, consulting and accounting policy initiatives for financial institutions.
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