DNB Announces Multiple Regulatory Updates for Banks

In particular, DNB:

• updated the list of the additional data requests, including semi-recurring and one-off data requests, to banks from DNB and European agencies.
• announced that the supervisory fees reporting obligation is available in Digital Reporting Portal (DLR) for the banks and branches that must submit a separate report. The report must be submitted no later than November 11, 2022.
• published additional data quality checks and XBRL-Formula linkbase documents for the fourth quarter of 2022. The additional data quality checks related to the reference period December 2022 (run from January 01, 2023) have been presented under "User documentation" on Digital Reporting Portal (DLR) for banks. In line with previous periods, the document only concerns the data quality checks that are valid for the mentioned reference period. The document contains an additional tab of information on additional data quality checks that are run in XBRL. For each entry point for which additional data quality checks are defined, there is a separate XBRL-Formula linkbase file and the filename is in accordance with the relevant entry point.
• published an updated version of the file "Required templates and filing indicators”, which indicates the templates that are mandatory, not allowed or optional and with which value a filing indicator should be included in the XBRL report. This version applies to the Data Point Model (DPM) 3.2 and is partly valid from reference period December 2022 onwards and partly from June 2023 onwards. This version includes changes to several templates of COREP OF, COREP FRTB, COREP LR, asset encumbrance, SBP CR, LCR DA, ALMM, NSFR, GSII, remuneration benchmarking, and remuneration high earners modules. This version also introduced new modules on SBP IFRS9, remuneration pay gap, and remuneration higher ratios. With regard to changes in the filing indicators, DNB notified that for every (re)submission done as of January 01, 2023 for each template a filing indicator should be reported. This is also applicable to templates sent outside the normal frequency.
• announced that the buffer for other systemically important institutions (O-SII buffer) will remain unchanged based on the yearly evaluation. As of December 29, 2020, the following O-SII buffers apply: ING (2.5%), Rabobank (2%), ABN AMRO Bank (1.5%), and BNG and de Volksbank (1%). The next evaluation of the buffers is planned in the spring of 2023.
• adopted the final amendments to the two policy rules of Deposit Guarantee Scheme (DGS). The DGS policy rules consist of the single customer view (SCV) policy rule, the policy rule on the scope and execution of the DGS and the regulation on statements of financial undertakings under the Financial Supervision Act 2011 (Statements Regulation). These set of rules will enable the reduction of the DGS payout period to seven working days. The amendments to the SCV policy rule cover clarification on the process in which banks must protect foreign personal data in reports, the deposit base that DNB uses under various circumstances to determine the levies that banks are required to pay for the DGS, the removal of the marking relating to convictions for money laundering, and the guarantee that banks will report dormant accounts in the SCV files. The amendments to the policy rule on the scope and execution of the DGS cover change in the identification options for depositors of escrow accounts, introducing a provision on the treatment of accounts of deceased account holders, and clarifying the definition of a working day.
• published results of a study on crypto-assets. The study provides a broad overview of the evolution of crypto-assets, their main opportunities and risks, and summarizes the international regulatory response. The study analyzes two main types of crypto-assets, that is, unbacked crypto-assets and stablecoins, including their main functions (as a medium of exchange or speculative investment), and the underlying technology that provides for storage and transfer of these assets. The key findings of the study reveal that, in advanced economies, crypto-assets are mostly bought as a speculative investment. The underlying technology could lead to innovative applications, but also carries additional risks compared to the traditional financial system. The study found that stablecoins have more potential to deliver on the main opportunities of crypto-assets by improving the speed and efficiency of cross-border payments and facilitating the storage and transfer of tokenized assets. Based on above findings, the study concludes that the main opportunity of crypto-assets can best be fulfilled under a regulatory regime that addresses the risks.

Related Links

• Updated Additional Data Requests (PDF)
• Additional Data Quality Checks
• Templates and Filing Indicators
• Supervisory Fees Reporting Obligation
• DLR User Documentation
• News on O-SII Buffers
• Amendments to DGS Policy Rules
• Study on Crypto-Assets (PDF)

Keywords: Europe, Banking, Reporting, Basel, Regulatory Capital, COREP, DLR, Deposit Guarantee Scheme, Reporting Framework 3 2, NSFR, Systemic Risk, Regtech, ML TF Risk, Netherlands, Crypto Assets, O-SII Buffer, DNB