July 11, 2017

The European Council adopted conclusions on the EC's review of the EU's Capital Markets Union Action Plan. Focus is on actions related to sustainable finance and financial technology, with work being planned on actions announced in 2015 and not yet delivered; the follow-up to actions completed under the 2015 action plan; and new priority actions.

The Council also agreed on an action plan to address the problem of non-performing loans (NPLs) in the banking sector. It outlined a mix of policy actions to help reduce stocks of NPLs, which remain at high levels within the EU, and to prevent their future emergence. Resolving NPLs can help reduce financial fragmentation and facilitate capital flows within the single market. On the basis of an expert report, the Council highlighted the need for action in the areas of bank supervision, the reform of insolvency and debt recovery frameworks, the development of secondary markets for NPLs, and restructuring of the banking industry.

 

While speaking at the ECOFIN press conference, the EC Vice President Valdis Dombrovskis discussed the European action plan to tackle NPLs, in the context of the Capital Markets Union action plan. He highlighted the launch of a public consultation on how the EU can tackle barriers to entry for companies willing to purchase NPLs or servicing loans on secondary markets. The focus is also on improving access to loan collateral for secured creditors, which could help pre-empt the building up of new NPLs and ultimately allow better access to credit.

 

Related Links

Press Release

Council Conclusions on Mid-Term Review

Council Conclusions on NPL Action Plan

Council Action Plan for NPLs

EC Vice President on Capital Markets Union

Keywords: Europe, EC, Banking, Securities, NPL, Capital Markets Union, Action Plan

Related Articles
News

US Agencies Consult on Capital Treatment of Land Development Loans

US Agencies (FDIC, FED, and OCC) issued a proposed rule on the treatment of loans that finance the development of land for purposes of the one- to four-family residential properties exclusion in the definition of high volatility commercial real estate (HVCRE) exposure in the regulatory capital rule.

July 12, 2019 WebPage Regulatory News
News

EBA Single Rulebook Q&A: Second Update for July 2019

Under the Single Rulebook question and answer (Q&A) updates for this week, EBA published answers to five questions related to supervisory reporting.

July 12, 2019 WebPage Regulatory News
News

ESMA Updates Manual for European Single Electronic Format in EU

ESMA updated the reporting manual for European Single Electronic Format (ESEF).

July 12, 2019 WebPage Regulatory News
News

FED Updates Supplemental Instructions for Reporting Form FR Y-9C

FED updated the supplemental instructions for FR Y-9C reporting.

July 12, 2019 WebPage Regulatory News
News

EBA Publishes Report on Monitoring Implementation of LCR in EU

EBA published its first report on the monitoring of the implementation of liquidity coverage ratio (LCR) in EU.

July 12, 2019 WebPage Regulatory News
News

EIOPA Consults on Reporting and Disclosures Under Solvency II Review

EIOPA launched a consultation package on supervisory reporting and public disclosure in the context of its work linked with the 2020 Solvency II review.

July 12, 2019 WebPage Regulatory News
News

APRA Applies Additional Capital Requirements to Three Australian Banks

APRA is applying additional capital requirements to three major banks in Australia to reflect higher operational risk identified in their risk governance self-assessments.

July 11, 2019 WebPage Regulatory News
News

IMF Report on 2019 Article IV Consultation on Euro Area Policies

IMF published its staff report in context of the 2019 Article IV consultation on euro area policies with member countries.

July 11, 2019 WebPage Regulatory News
News

FSB to Survey Practices on Cyber Incident Response and Recovery

FSB launched a survey on the industry practices on cyber incident response and recovery.

July 11, 2019 WebPage Regulatory News
News

ECB Appoints New Members of Supervisory Board

The Governing Council of ECB appointed Edouard Fernandez-Bollo, Kerstin af Jochnick, and Elizabeth McCaul as representatives to the Supervisory Board of ECB Banking Supervision, for a five-year non-renewable term.

July 11, 2019 WebPage Regulatory News
RESULTS 1 - 10 OF 3441