Featured Product

    EBA Issues Proposal to Enhance Proportionality in Liquidity Reporting

    April 28, 2021

    EBA launched a consultation on the implementing technical standards that amend the Regulation 2021/451 on supervisory reporting, with respect to the Additional Liquidity Monitoring Metrics (ALMM). Following the mandate laid down in the revised Capital Requirements Regulation (CRR2), EBA is proposing to introduce proportionality considerations in ALMM reporting for small and non-complex institutions. Amendments are being proposed to the templates to streamline reporting requirements, meet data gaps, and further clarify the reporting instructions. The consultation period is open until July 28, 2021.

    The proposed amendments are mainly driven by the introduction of new proportionality measures for small and non-complex institutions, in line with the CRR2 provisions to specify which ALMM shall apply to those type of institutions. EBA is proposing to keep the reduced quarterly frequency for the information that small and non-complex institutions need to report, already included in the reporting framework version 3.0. It is also proposing to exempt small and non-complex institutions from reporting metrics on the concentration of funding by product type (C 68.00), the funding price for various lengths of funding (C 69.00), and information on roll-over of funding (C 70.00). The liquidity metrics and related reporting are thus reduced to the maturity ladder-monitoring tool and the concentration of funding by counterparty and by counterbalancing capacity. EBA also proposed that institutions falling outside the small and non-complex institutions or large institutions classification, as defined in the CRR2, would be exempt from reporting metrics on roll-over funding. 

    After a three-month consultation, EBA will finalize the draft technical standards and is expected to submit the amending final draft technical standards to EC in December 2021. The first reference date for the application of these technical standards is foreseen to be in December 2022. The expected implementation period for the proposed changes is approximately one year. EBA will also develop the data point model (DPM), XBRL taxonomy, and validation rules based on the final draft technical standards. 

     

    Related Links

    Comment Due Date: July 28, 2021

    Keywords: Europe, EU, Banking, Reporting, ALMM, Proportionality, CRR2, Basel, Implementing Technical Standards, Reporting Framework 3.0, Liquidity Risk, EBA

    Featured Experts
    Related Articles
    News

    EC Rule on Contractual Recognition of Write Down and Conversion Powers

    The European Commission (EC) published the Delegated Regulation 2021/1527 with regard to the regulatory technical standards for the contractual recognition of write down and conversion powers.

    September 17, 2021 WebPage Regulatory News
    News

    APRA Issues Further Guidance on Application of Securitization Standard

    The Australian Prudential Regulation Authority (APRA) published a new set of frequently asked questions (FAQs) to provide guidance to authorized deposit-taking institutions on the interpretation of APS 120, the prudential standard on securitization.

    September 16, 2021 WebPage Regulatory News
    News

    SRB Provides Update on Approach to Prior Permissions Regime

    The Single Resolution Board (SRB) published a Communication on the application of regulatory technical standard provisions on prior permission for reducing eligible liabilities instruments as of January 01, 2022.

    September 16, 2021 WebPage Regulatory News
    News

    APRA Publishes FAQs on Capital Treatment of Overseas Subsidiaries

    The Australian Prudential Regulation Authority (APRA) published a new set of frequently asked questions (FAQs) to clarify the regulatory capital treatment of investments in the overseas deposit-taking and insurance subsidiaries.

    September 15, 2021 WebPage Regulatory News
    News

    EBA Finalizes Guidance to Assess Breaches of Large Exposure Limits

    The European Banking Authority (EBA) published the final report on the guidelines specifying the criteria to assess the exceptional cases when institutions exceed the large exposure limits and the time and measures needed for institutions to return to compliance.

    September 15, 2021 WebPage Regulatory News
    News

    PRA Finalizes Changes to Consolidated Prudential Rules Under CRD5/CRR2

    The Prudential Regulation Authority (PRA) issued the policy statement PS20/21, which contains final rules for the application of existing consolidated prudential requirements to financial holding companies and mixed financial holding companies.

    September 15, 2021 WebPage Regulatory News
    News

    EBA Revises Guidelines on Stress Tests of Deposit Guarantee Schemes

    The European Banking Authority (EBA) revised the guidelines on stress tests to be conducted by the national deposit guarantee schemes under the Deposit Guarantee Schemes Directive (DGSD).

    September 15, 2021 WebPage Regulatory News
    News

    Nordea Bank and EIB Sign Agreement to Fund Green Projects in Nordics

    The European Commission (EC) announced that Nordea Bank has signed a guarantee agreement with the European Investment Bank (EIB) Group to support the sustainable transformation of businesses in the Nordics.

    September 15, 2021 WebPage Regulatory News
    News

    HKMA Endorses Industry Guidance to Support LIBOR Transition

    The Hong Kong Monetary Authority (HKMA) issued a circular, for all authorized institutions, to confirm its support of an information note that sets out various options available in the loan market for replacing USD LIBOR with the Secured Overnight Financing Rate (SOFR).

    September 14, 2021 WebPage Regulatory News
    News

    OCC Issues Booklet on Supervision of Problem Banks

    The Office of the Comptroller of the Currency (OCC) issued a new "Problem Bank Supervision" booklet of the Comptroller's Handbook. The booklet covers information on timely identification and rehabilitation of problem banks and their advanced supervision, enforcement, and resolution when conditions warrant.

    September 13, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 7481