US Agencies Extend Deadline for Resolution Plans of Certain Banks
US Agencies (FDIC and FED) announced several resolution plan actions, including completion of their evaluations of the 2018 resolution plans for 82 foreign banks. In addition, the Agencies extended the deadline for the next resolution plans of 82 foreign banks and 15 domestic banks to July 01, 2021. This extension will give the banks additional time to prepare their plans and will help mitigate uncertainty about the filing requirements, while the US Agencies' April 2019 proposal to revise the resolution plan rule remains pending. Until the US Agencies finalize this proposal in a final rule, the current resolution plan rule continues to apply to each covered company.
The US Agencies did not identify shortcomings, which are defined as weaknesses a firm would be required to address, in the 2018 resolution plans of the 82 foreign banks. However, the Agencies are requesting additional information in the next resolution plans from seven firms—namely, HSBC Holdings Plc, BNP Paribas, Royal Bank of Canada, Banco Bilbao Vizcaya Argentaria S.A., Bank of Montreal, Banco Santander S.A., and Toronto-Dominion Bank. Additionally, the US Agencies extended the next full resolution plan submission date for four other foreign banks—Barclays PLC, Credit Suisse, Deutsche Bank AG, and UBS AG—to July 01, 2021. However, these banks are still required to submit the limited plans by July 01, 2020; the limited plans should describe how these banks have addressed the shortcomings identified in December 2018 and provide updates on certain resolution projects.
Related Links
- Press Release
- Proposed Rule, April 2019
- List of 82 Foreign Banks (PDF)
- List of 15 Domestic Banks (PDF)
Keywords: Americas, US, Banking, Foreign Banks, Resolution Plans, Extension of Deadline, FED, FDIC, US Agencies
Previous Article
FCA Responds to Comments on Its Call for Input on PRIIPs RegulationRelated Articles
EBA Clarifies Use of COVID-19-Impacted Data for IRB Credit Risk Models
The European Banking Authority (EBA) published four draft principles to support supervisory efforts in assessing the representativeness of COVID-19-impacted data for banks using the internal ratings based (IRB) credit risk models.
BIS Hub Updates Work Program for 2022, Announces New Projects
The Bank for International Settlements (BIS) Innovation Hub updated its work program, announcing a set of projects across various centers.
US Senate Members Seek Details on SEC Proposed Climate Disclosure Rule
Certain members of the U.S. Senate Committee on Banking, Housing, and Urban Affairs issued a letter to the Securities and Exchange Commission (SEC)
EIOPA Consults on Review of Securitization Framework in Solvency II
The European Insurance and Occupational Pensions Authority (EIOPA) published a consultation paper on the advice on the review of the securitization prudential framework in Solvency II.
UK Authorities Issue Regulatory and Reporting Updates for Banks
The Prudential Regulation Authority (PRA) issued a statement on PRA buffer adjustment while the Bank of England (BoE) published a notice on the statistical reporting requirements for banks.
BaFin Consults on Resolvability Requirements for Resolution Planning
The Federal Financial Supervisory Authority of Germany (BaFin) proposed to amend the “Capital Investment Conduct And Organization Ordinance” and issued a draft circular on the minimum resolvability requirements for resolution planning.
EBA Consults on Certain Standards and Guidelines Under CRR and BRRD
The European Banking Authority (EBA) proposed guidelines, for the resolution authorities, on the publication of the write-down and conversion and bail-in exchange mechanic, with the comment period ending on September 07, 2022.
OJK Publishes Regulatory Updates for Financial Sector Entities
The Financial Services Authority of Indonesia (OJK) is strengthening cooperation with the Australian Prudential Regulation Authority (APRA) and the Japanese Financial Services Agency (JFSA)
EU Publishes Rules on DLT and Data Governance
The European Parliament and the Council published Regulation 2022/868 on European data governance (Data Governance Act).
EBA Publishes Phase 2 of Reporting Framework 3.2
The European Banking Authority (EBA) published phase 2 of its reporting framework 3.2. The technical package supports the implementation of the updated reporting framework by providing standard specifications