Featured Product

    EC Issues List of Indicators to Monitor Progress in EU Capital Markets

    June 09, 2021

    EC published a list of indicators to help track developments of capital markets and measure progress achieved by the Capital Markets Union policy of EU. These indicators will help identify whether certain rules need to be adjusted to boost capital markets of Europe or if new measures are required. Developing capital markets and ensuring access to market financing will be essential to help Europe recover from the economic crisis caused by COVID-19 pandemic.

    The purpose of the indicators is three-fold:

    • Monitor progress toward objectives of the Capital Markets Union
    • Provide a framework for the analysis of capital market development and an empirical basis for future analysis of the overall impact of past capital markets union measures
    • Help identify the areas where existing policies may need to be adjusted or new policies may need to be developed.

    EC put forward a new Capital Markets Union action plan in September 2020. While some progress has been made since the Capital Markets Union was launched, the EU capital markets remain largely fragmented. By tracking overall progress toward the key  objectives of the Capital Markets Union, the indicators will complement evaluation and impact assessment of individual measures under the action plan. In its staff working document on the indicators, EC highlights that the indicators allow for a comparison between the member states. For most indicators, over the examined period, the member states with less developed markets have also been the ones where the situation has improved the most, demonstrating the well-established "catching-up" effect. However, the Capital Markets Union indicators cannot offer a complete picture of all relevant developments. They are designed to be stable, yet sufficiently open to integrate new indicators or replace existing indicators with more suitable ones, once more or better data become available, making the toolkit dynamic.

    Furthermore, reporting on relevant sustainability data will be gradually introduced to track progress toward sustainable finance and more broadly towards the green objectives, notably the reporting under the Taxonomy Regulation, the Sustainable Finance Disclosure Regulation, and the recently tabled proposal for a Corporate Sustainability Reporting Directive (revising the Non-Financial Reporting Directive). These could be useful to develop new sustainable finance indicators. Other areas where new indicators may become available in the future relate to financial literacy and the state of insolvency frameworks (when the ongoing feasibility assessment on value recovery data is completed). Thus, the future iterations of the Capital Markets Union indicators toolkit, which is planned to be updated annually, may include new or adapted indicators.

     

    Related Links

    Keywords: Europe, EU, Banking, Securities, Capital Markets Union, Sustainable Finance, ESG, Taxonomy Regulation, SFDR, NFRD, EC

    Related Articles
    News

    PRA Proposes Changes to Consolidated Prudential Rules Under CRD5/CRR2

    PRA proposed rules (in CP12/21) for the application of existing consolidated prudential requirements to financial holding companies and mixed financial holding companies that have been approved or designated in accordance with Part 12B of the Financial Services and Markets Act 2000 (FSMA).

    June 21, 2021 WebPage Regulatory News
    News

    ECB Extends Leverage Ratio Relief for Banks Until March 2022

    ECB Banking Supervision announced that euro area banks it directly supervises may continue to exclude certain central bank exposures from the leverage ratio until March 2022.

    June 18, 2021 WebPage Regulatory News
    News

    OSFI Consults on Treatment of Credit Valuation Adjustments

    OSFI decided to increase the Domestic Stability Buffer from 1.00% to 2.50% of total risk-weighted assets, with effect from October 31, 2021.

    June 18, 2021 WebPage Regulatory News
    News

    HKMA Requires Banks to Submit Plans for Fintech Adoption

    HKMA is requesting banks to participate in a tech baseline assessment, which forms part of the HKMA Fintech 2025 strategy.

    June 18, 2021 WebPage Regulatory News
    News

    OSFI Consults on Operational Risk Capital Data Management Expectations

    OSFI published two documents to consult on the management of operational risk capital data for institutions required, or for those applying, to use the Basel III standardized approach for operational risk capital in Canada.

    June 18, 2021 WebPage Regulatory News
    News

    NGFS on Addressing Financial Stability Issues from Biodiversity Loss

    The NGFS Study Group on Biodiversity and Financial Stability published a Vision paper exploring the case for action in addressing the financial stability concerns arising from biodiversity loss.

    June 18, 2021 WebPage Regulatory News
    News

    ACPR Publishes CREDITIMMO Version 2.3.0 Taxonomy for Banks

    ACPR published the final version of CREDITIMMO 2.3.0 taxonomy for the decree of October 31, 2021.

    June 18, 2021 WebPage Regulatory News
    News

    EC Prolongs Italian Guarantee Scheme for Non-Performing Loans

    EC, has approved, under the EU State Aid rules, the fourth prolongation of the Italian guarantee scheme to facilitate the securitization of non-performing loans.

    June 18, 2021 WebPage Regulatory News
    News

    ECB Amends Guideline on Temporary Collateral Easing Measures

    ECB published Guideline 2021/975, which amends Guideline ECB/2014/31, on the additional temporary measures relating to Eurosystem refinancing operations and eligibility of collateral.

    June 17, 2021 WebPage Regulatory News
    News

    EIOPA Releases Report on Artificial Intelligence Governance Principles

    EIOPA published a report, from the Consultative Expert Group on Digital Ethics, that sets out artificial intelligence governance principles for an ethical and trustworthy artificial intelligence in the insurance sector in EU.

    June 17, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 7128